<P> L = − 1 E d (\ displaystyle L = (\ frac (- 1) (E_ (d)))) </P> <P> (Here, E d (\ displaystyle E_ (d)) is an expression of the firm's demand curve, not the market demand curve .) </P> <P> The Lerner index describes the relationship between elasticity and price margins for a profit - maximizing firm; it can never be greater than one . If the Lerner index can't be greater than one, then the absolute value of elasticity of demand can never be less than one (the elasticity can never be greater than − 1). The interpretation of this mathematical relationship is that a firm which is maximizing profits will never operate along the inelastic portion of its demand curve . </P>

Which of the following values of the lerner index indicates the greatest amount of market power