Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
True
B
False
Understanding the Answer
Let's break down why this is correct
Answer
The statement is false. The Sherman Antitrust Act was created to stop monopolistic and anticompetitive behavior, not to eliminate every corporation. It targets agreements or practices that restrain trade, such as price fixing or exclusive contracts that hurt competition. For example, if a company tries to set a single price for all buyers, the Act allows courts to break that agreement. Thus, the law protects competition rather than destroying all businesses.
Detailed Explanation
The act stops businesses from using unfair tactics that create monopoly power, not from banning any company. Other options are incorrect because Some people think the act targets big firms just because they are large, but that is wrong.
Key Concepts
Antitrust legislation
Market competition
Monopolies
Topic
Sherman Antitrust Act
Difficulty
hard level question
Cognitive Level
understand
Practice Similar Questions
Test your understanding with related questions
1
Question 1The Sherman Antitrust Act was primarily designed to prevent the formation of __________ that could restrict competition in the marketplace.
easyHistory
Practice
2
Question 2What was the primary goal of the Sherman Antitrust Act?
easyHistory
Practice
3
Question 3The Sherman Antitrust Act was primarily enacted to prevent __________ and promote fair competition in the marketplace.
easyHistory
Practice
4
Question 4The Sherman Antitrust Act, enacted in 1890, was primarily aimed at preventing __________ that interfered with interstate trade.
hardHistory
Practice
5
Question 5The Sherman Antitrust Act was primarily applied to regulate __________ in order to promote fair competition and prevent monopolies.
easyHistory
Practice
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