Asked by Danielle Szajdek on Jul 09, 2024
Verified
If Cinage Cutlery lowers its price per item to anyone who buys a minimum of 100 knives because it costs Cinage less to sell that quantity, it is not a violation of the Robinson-Patman Act.
Robinson-Patman Act
A 1936 law intended to prevent anticompetitive practices by producers, specifically price discrimination that could harm competition.
- Contrast between sanctioned and unsanctioned practices in accordance with the Sherman Act, Clayton Act, and the Robinson-Patman Act.
Verified Answer
JS
Jakob SteinJul 15, 2024
Final Answer :
True
Explanation :
The Robinson-Patman Act allows for price differences if they are justified by cost savings to the seller, such as those realized from selling in larger quantities.
Learning Objectives
- Contrast between sanctioned and unsanctioned practices in accordance with the Sherman Act, Clayton Act, and the Robinson-Patman Act.