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Finance

Herfindahl-Hirschman Index (HHI) calculator

Market concentration measured from the sum of squared market shares of each firm.

What this calculator does

Herfindahl-Hirschman Index (HHI) works out market concentration measured from the sum of squared market shares of each firm. Enter your own figures above and the answer updates as you type: nothing is fixed in the code, so the result reflects exactly the numbers you supply.

The formula this calculator evaluates is printed under the tool and explained below, so you can check the working by hand or reuse it in a spreadsheet.

The formula

FormulaHHI = Σ sᵢ², where sᵢ is each firm's market share as a percentage

The inputs explained

FieldWhat to enter
Market shares, comma-separated (%)A list of numbers, separated by commas or spaces.