Why does the Department of Justice not investigate and block the many mergers of large firms that have occurred recently in oligopolistic industries such as the cellular phone industry and the airline industry that obviously lessen competition?
A) The Department of Justice has no authority to enforce antitrust violations because that authority was given only to the Department of Labor under the Clayton Act.
B) The Economic Recovery and Reinvestment Act that was passed in 2009 repealed the Clayton Act.
C) It is difficult for the Department of Justice to determine whether a firm has violated the law as written because antitrust law is complex and cases are hard to prosecute.
D) In the past, every attempt by the Department of Justice to block a merger between two large firms has failed, so the Department of Justice attempts to block only mergers between small firms.
E) In 1992, antitrust laws were amended so that they would not apply to nationally important industries such as the cellular phone industry and the airline industry.
Correct Answer:
Verified
Q117: If attorneys can prove beyond a reasonable
Q118: According to the Clayton Act,persons are not
Q119: The practice of setting prices deliberately below
Q121: Kit-N-Sit, Inc. and Kittysitters, Inc. are two
Q123: The accompanying table shows Cassie's preference
Q124: When firms in an oligopoly collude without
Q125: Jason's JPMorgan Chase credit card has a
Q127: If a firm sells only pharmaceutical grade
Q129: The practice of setting prices deliberately below
Q148: Use the following scenario to answer the
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents