USA HISTORY

Detailed explanation-1: -Federal antitrust laws exist to prevent individual corporations from assuming a level of market power that makes them able to limit their output and raise prices without concern for any significant competitor reaction.

Detailed explanation-2: -Yet for over 100 years, the antitrust laws have had the same basic objective: to protect the process of competition for the benefit of consumers, making sure there are strong incentives for businesses to operate efficiently, keep prices down, and keep quality up.

Detailed explanation-3: -Approved July 2, 1890, The Sherman Anti-Trust Act was the first Federal act that outlawed monopolistic business practices.

Detailed explanation-4: -The Bottom Line. Antitrust laws regulate the concentration of economic power to prevent companies from price colluding or creating monopolies. Proponents of antitrust laws argue that they keep consumer prices lower and foster innovation through increased competition.