The Clayton Act prohibits all horizontal mergers, regardless of their economic consequences.

Question

Quizplus · Accepted Answer

The Clayton Act does not prohibit all horizontal mergers, but it does prohibit those that may substantially lessen competition or tend to create a monopoly. The Act also establishes specific criteria for determining whether a merger violates the law, including market share and potential for entry by new competitors.

The Clayton Act Prohibits All Horizontal Mergers, Regardless of Their