A firm can have monopoly power without violat?ing antitrust law.

Question

Quizplus · Accepted Answer

Monopoly power is the ability of a firm to control a significant share of the market and its prices. Having monopoly power in itself is not illegal, but using certain tactics to maintain or increase the monopoly power may violate antitrust laws. Antitrust laws prohibit firms from engaging in anti-competitive practices such as price fixing, monopolization, and collusion. Therefore, a firm can have monopoly power without violating antitrust law as long as it does not engage in anti-competitive behavior.

A Firm Can Have Monopoly Power Without Violat?ing Antitrust Law