The first phase of antitrust policy in the U.S.began with the passage of the Sherman Antitrust Act in 1890.To judge a firm's action,the courts in this period used:
A)a per se rule.
B)a rule of reason.
C)a rule of thumb.
D)the 80-20 rule.
E)strict enforcement rule.

Question

Quizplus · Accepted Answer

The courts in the first phase of antitrust policy in the U.S. used a rule of reason to judge a firm's action. This approach involved analyzing the specific circumstances and context of each case to determine whether a firm's behavior was anticompetitive or not. The rule of reason allowed for more flexibility and nuance in antitrust enforcement, as opposed to a per se rule (which would automatically deem certain actions illegal regardless of context) or a strict enforcement rule (which would only allow for clear-cut cases to be pursued).

The First Phase of Antitrust Policy in the U