The "rule of reason" indicated that
A)if less than four firms account for three-fourths of an industry's sales, the industry is in violation of the Sherman Act.
B)social regulation should not be enforced unreasonably so that costs exceed benefits.
C)the mere possession of monopoly power is a violation of the antitrust laws.
D)only contracts and combinations that unreasonably restrain trade violate the antitrust laws.

Question

Quizplus · Accepted Answer

The "rule of reason" is a legal doctrine used in antitrust law, stating that not all monopolies, contracts, or conspiracies to restrain trade are illegal, but only those that unreasonably do so. This approach allows for a more nuanced analysis of the competitive effects of business practices.

The "Rule of Reason" Indicated That