If a firm acquires the stock of a competing firm that causes a substantial lessening of competition, it would be in violation of the:
A) Clayton Act.
B) Robinson-Patman Act.
C) Sherman Antitrust Act.
D) Federal Trade Commission Act.
E) Interstate Commerce Act.

Question

Quizplus · Accepted Answer

The Clayton Act addresses anti-competitive practices and prohibits acquisitions that may substantially lessen competition or tend to create a monopoly.

If a Firm Acquires the Stock of a Competing Firm