Asked by Chantal Barry on May 08, 2024
Verified
The chief executive officers of the major U.S. steel makers would most likely be prosecuted under the antitrust laws if they
A) met to review developments in the domestic market for steel.
B) agreed to work together to control the price of domestic steel.
C) conferred on resource, supply, and distribution issues.
D) promised to reveal to each other their positions on trade and tariffs.
Antitrust Laws
Legislation enacted to prevent monopolies and promote competition among businesses, ensuring fair and free market practices.
Price Control
Government policies or regulations that set or limit the price of certain goods and services in an attempt to control inflation and ensure affordability.
Steel Makers
Companies involved in the production of steel, an alloy of iron and carbon used widely in construction and manufacturing.
- Differentiate between actions that are allowable and those that are forbidden under the Sherman Act, the Clayton Act, and additional anti-competitive laws.
- Understand the rule of reason and per se violations in the context of antitrust law.
Verified Answer
US
Unathi SigcauMay 13, 2024
Final Answer :
B
Explanation :
Agreeing to work together to control the price of domestic steel constitutes price fixing, which is illegal under antitrust laws as it restricts competition and harms consumers.
Learning Objectives
- Differentiate between actions that are allowable and those that are forbidden under the Sherman Act, the Clayton Act, and additional anti-competitive laws.
- Understand the rule of reason and per se violations in the context of antitrust law.