Herfindahl-Hirschman Index Calculator
Herfindahl-Hirschman Index Calculator helps calculating the Herfindahl-Hirschman Index.
What is Herfindahl-Hirschman Index?
Herfindahl-Hirschman Index (also known as HHI, or sometimes HHI-score) is a measure of the size of firms in relation to the industry and an indicator of the amount of competition among them.
Named after economists Orris C. Herfindahl and Albert O. Hirschman, it is an economic concept widely applied in competition law, antitrust.
The Formula of Herfindahl-Hirschman Index
Herfindahl-Hirschman Index is defined as the sum of the squares of the market shares of the firms within the industry (sometimes limited to the 50 largest firms),where the market shares are expressed as fractions.