A. Calculate the premerger HHI measures for each market and the change in the HHI assuming each proposed merger were approved.

B. In each market, indicate whether or not the proposed merger is apt to be approved according to the horizontal merger guidelines. Why or why not?

P13.6 Costs of Regulation. Hathaway-Ross Instruments, Inc., manufactures an innovative piece of diagnostic equipment used in medical laboratories and hospitals. OSHA has determined that additional safety precautions are necessary to bring radioactive leakage occurring during use of this equipment down to ascceptable levels. Total and marginal production costs, including a normal rate of return on investment but before additional safeguards are installed, are as follows:

Market demand and marginal revenue relations are the following:


= $15,000 -


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