Statutes enacted in most states that once permitted manufacturers to stipulate a minimum retail price for their product are called _____.
A)fair-trade laws
B)tax-exemption laws
C)price discrimination laws
D)loss-leader laws

Question

Quizplus · Accepted Answer

Fair-trade laws, also known as minimum resale price maintenance laws, allow manufacturers to stipulate a minimum retail price for their products. These laws were enacted in most states to prevent price-cutting by retailers and ensure fair competition among retailers. However, the Supreme Court in 1975 ruled that these laws were anticompetitive and violated the Sherman Antitrust Act, and most states have since abolished them.

Statutes Enacted in Most States That Once Permitted Manufacturers to Stipulate