Exam 22: Antitrust Law and Unfair Trade Practices

A per se violation of Section 1 of the Sherman Act that occurs when a party at one level of distribution enters into an agreement with a party at another level to adhere to a price schedule that either sets or stabilizes prices is referred to as ________.

According to the failing company doctrine, two or more smaller companies are allowed to merge to compete with a larger company even if they are highly profitable as smaller companies.

Federal antitrust laws provide only for government lawsuits.

Price fixing is a ________ violation of Section 1 of the Sherman Act.

For conscious parallelism to be proven, each manufacturer should be found to have acted on its own.

The ________ is a federal statute, enacted in 1930, that prohibits price discrimination.

The insurance business enjoys a statutory exemption from antitrust laws.

The ________ doctrine holds that two or more persons may petition the executive, legislative, or judicial branch of the government or administrative agencies to enact laws or to take other action without violating antitrust laws.

Which of the following is true of the Colgate doctrine?

The ________ rule is a rule that is applicable to restraints of trade considered inherently anticompetitive. Once this determination is made about a restraint of trade, the court will not permit any defenses or justifications to save it.

________ is a defense to a charge of monopolizing which recognizes that a small market can support only one competitor, such as a small-town newspaper.

The legality of nonprice vertical restraints of trade under Section 1 of the Sherman Act is examined by using the rule of reason.

The ________ Act, enacted in 1950, widened the scope of Section 7 of the Clayton Act to include asset acquisitions.

Section 2 of the Sherman Act prohibits the act of monopolization.

Which of the following is considered to be a primary defense against Section 7 of the Clayton Act?

A relevant market is characterized by the presence of ________.

The legality of nonprice vertical restraints of trade under Section 1 of the Sherman Act is examined by applying the ________.

Only price-fixing conducted by sellers is considered a violation of Section 1 of the Sherman Act.

Which of the following is true of antitrust laws?

The merger of two grocery store chains that serve the same geographical market is an example of a horizontal merger.