Enforcing Competition: the United States Antitrust Laws

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Enforcing Competition the United States
Antitrust Laws

• The basic statutes
• A. Sherman Antitrust Act of 1890
• B. Clayton Antitrust Act of 1914
• C. Federal Trade Commission Act, 1914
• Who enforces?
• A. Antitrust Division, DOJ
• B. Federal Trade Commission
• C. Private Plaintiffs

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Enforcing Competition the United States
Antitrust Laws

• Whats illegal? Sherman Act
• Sec. 1 Restraint of trade Price fixing
• Agreements to share a market
• Unreasonable vertical restraints
• Sec. 2 Monopolization
• Mere size is not an offense
• Power plus intent to exclude
• but something more than ordinary success.

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Enforcing Competition the United States
Antitrust Laws

• Whats illegal? Clayton Act
• Sec. 7 Mergers and acquisitions
• Sec. 3 Tying contracts and exclusive dealing
• Sec. 2 Price discrimination
• .that substantially lessen competition
  or
• tend to create a monopoly.