-The judicial doctrine, being a monopoly or attempting to monopolize is not in itself illegal; to be illegal, an action had to be shown to have negative economic effects, is called:
A)the "big is bad" policy.
B)the per se rule.
C)predatory price-cutting policy.
D)the rule of law.
E)the rule of reason.

Question

-The judicial doctrine, being a monopoly or attempting to monopolize is not in itself illegal; to be illegal, an action had to be shown to have negative economic effects, is called:
A)the "big is bad" policy. 
B)the per se rule. 
C)predatory price-cutting policy. 
D)the rule of law. 
E)the rule of reason.

Quizplus · Accepted Answer

The "rule of reason" is a judicial doctrine stating that not all monopolies or attempts to monopolize are illegal per se; the legality of such actions is determined based on their actual or probable adverse effects on competition. This contrasts with a per se rule, where certain actions are deemed illegal without needing to show harm to competition.

-The Judicial Doctrine, Being a Monopoly or Attempting to Monopolize