Antitrust policy refers to government:
A)attempts to prevent the acquisition of monopoly power.
B)attempts to encourage the exercise of monopoly power.
C)encouragement of collusion in the marketplace.
D)attempts to limit private enterprise.

Question

Quizplus · Accepted Answer

Antitrust policy is designed to prevent the formation of a monopoly and to break up existing monopolies. It is based on the idea that competition is essential for the efficient functioning of the economy and that a monopoly can lead to higher prices, less innovation, and lower quality products. Therefore, antitrust policy involves government attempts to prevent the acquisition of monopoly power.

Antitrust Policy Refers to Government