Banners, Inc., has the power to control the market for its product.Crest Corporation and Delphic Shield Industries, Inc., agree to limit their competitiveness to increase their profits.The Sherman Antitrust Act of 1890 prohibits restraints on trade and commerce that originate from
A)any lack of balance in the nation's economy.
B)business combinations and conspiracies, and certain monopolistic practices.
C)business combinations and conspiracies only.
D)certain monopolistic practices only.

Question

Quizplus · Accepted Answer

The Sherman Antitrust Act of 1890 specifically prohibits restraints on trade and commerce that originate from business combinations and conspiracies, and certain monopolistic practices. The actions of Crest Corporation and Delphic Shield Industries, Inc., in limiting their competitiveness to increase their profits, would be considered a violation of this act. Additionally, since Banners, Inc., has the power to control the market for its product, it may also be in violation of the act.