Asked by ?ông Ngô Trinh on May 27, 2024
Verified
Economists who adhere to the laissez-faire antitrust perspective
A) view competition as a long-run dynamic process in which firms battle for dominance of markets but rarely can sustain such dominance once it is achieved.
B) believe the antitrust laws are as important today as they were when they were passed in the early 1900s.
C) say that an industry's structure, which is based on economies of scale, usually predicts the behavior of the industry firms.
D) contend that large, dominant firms should be broken into smaller competitive firms and then government should stand back and let competition prevail.
Laissez-Faire Antitrust
An approach to antitrust policy that advocates for minimal government intervention in the market and a greater reliance on market forces.
Dominance of Markets
A situation where one or few entities exert a disproportionate control over the sales, distribution, or characteristics of goods and services in a market.
- Identify the various viewpoints on antitrust legislation, encompassing structuralist, behaviorist, and laissez-faire approaches.
Verified Answer
AH
Austin HalfacreJun 02, 2024
Final Answer :
A
Explanation :
Economists who adhere to the laissez-faire antitrust perspective view competition as a dynamic process where firms compete for market dominance, but such dominance is often temporary and not easily sustained. This perspective emphasizes the natural fluctuations and adjustments in the market without the need for heavy-handed antitrust interventions.
Learning Objectives
- Identify the various viewpoints on antitrust legislation, encompassing structuralist, behaviorist, and laissez-faire approaches.