Economics (AS & A Level) · Feb / March 2021 · Paper 32 · Question 10

A firm that controlled over 50% of the market successfully merges with its main competitor to form one large company. What is the most likely reason why, from the firm's point of view, the merger will fail?

1. Aa fall in consumer surplus
2. Bcost of funding the merger
3. Ceconomies of scale
4. Dmarket dominance

As printed in the paper