(economics) What does the enforcement of antitrust laws do?

L

li1ku

New member
What does the enforcement of antitrust laws do?
A. Leads to budget surpluses
B. Speeds up the flow of capital and wages
C. Curtails venture capital investment
D. Requires issuing bonds
 
None of the above. It penalizes the large corporations who have acquired most of their major competitors from unfair advantage over their smaller competitors and monopolizing the market.

The Sherman Anti-Trust Act of 1890 was actually one of the best bills passed by congress. If the the American business model is built on fair competition, then the Sherman Act regulates and avoids cartel-like organizations to corner the market. i.e...At&T, Microsoft, Intel...
 
It keeps large, like minded, corporations from banning together to create a monopoly where they can charge whatever they want. I think this is some what derived of meaning now since we must compete with the Chinese.
 
taking a very conservative view of economics, the answer would be c.

the theory here is that you regulate business at all, by any means, then rich people will stop investing money because they cant build up monopolies, and make obscene profits.

by the way this question is complete capitalist propaganda.
 
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