U.S. antitrust laws view monopolies as undesirable because
A) monopolies restrain trade and promote inefficiencies.
B) monopolies create inferior products.
C) monopolies produce only capital goods.
D) monopolies produce only cheap, low quality goods.

Question

Quizplus · Accepted Answer

Monopolies restrain trade by limiting competition, which leads to higher prices for consumers and less innovation in the market. In addition, without competition, there is less incentive for the monopolist to improve their products or services. This lack of competition and inefficiencies is seen as detrimental to the market and the economy as a whole.

U.S. Antitrust Laws View Monopolies as Undesirable Because