Which of the following is not one of the ways that antitrust laws promote competition?
A)Antitrust laws allow the government to prevent mergers.
B)Antitrust laws allow the government to break up big companies into smaller ones.
C)Antitrust laws prevent companies from coordinating their activities in ways that make markets less competitive.
D)Antitrust laws allow the government to shut down a firm if the government believes the firm has monopoly power.

Question

Quizplus · Accepted Answer

Antitrust laws focus on preventing anti-competitive practices and ensuring market competition. They do not permit the government to shut down a firm solely because it has monopoly power. Instead, these laws are designed to regulate or dismantle monopolies through various measures, such as preventing mergers that would reduce competition, breaking up companies that have become too dominant, or stopping companies from engaging in activities that unfairly limit competition. The existence of monopoly power, in itself, is not illegal or a reason for shutdown under antitrust laws; it's the abuse of this power to the detriment of competition and consumers that is targeted.

Which of the Following Is Not One of the Ways