Question 1

Expressly exempt from antitrust laws because it is not interstate commerce, according to the United Supreme Court, is

Accepted Answer

A)   digital streaming.
B)   video production.
C)   professional football.
D)   professional baseball.E) B) and D)
F) B) and C)

Question 2

Road Tires Inc. conditions the sale of its products to Service Stores on the buyer's agreement to buy Road's tire-repair kits. Under the Clayton Act, this deal is

Accepted Answer

A)   a per se violation.
B)   a violation, unless the seller's competitors make similar deals.
C)   a violation, depending on its purpose and the effect on competition.
D)   not a violation.E) C) and D)
F) B) and C)

Question 3

Any contract, combination in the form of a trust, or conspiracy to restrain trade and commerce can be declared illegal under the antitrust laws.

Accepted Answer

A) True 
 B)False

Question 4

Under the Clayton Act, a seller can condition the sale of a product on the buyer's promise not to deal in the goods of the seller's competitors.

Accepted Answer

A) True 
 B)False

Question 5

The chief executive officers of the major U.S. steel makers would most likely be prosecuted under the antitrust laws if they

Accepted Answer

A)   met to review developments in the domestic market for steel.
B)   agreed to work together to control the price of domestic steel.
C)   conferred on resource, supply, and distribution issues.
D)   promised to reveal to each other their positions on trade and tariffs.E) A) and B)
F) A) and C)

Question 6

Bio Med Corporation makes and sells Curative, the most prescribed name-brand pain-relief medication. Drugs Inc. has the potential to make a generic version of the same drug. Bio Med agrees to pay Drugs not to make or sell the generic. This agreement is most likely

Accepted Answer

A)   a deal that neither restrains trade or harms competition.
B)   not within the scope of the Sherman Act.
C)   a per se violation of the Sherman Act.
D)   subject to analysis under the rule of reason.E) B) and C)
F) A) and B)

Question 7

Oil Industries Inc. and Petro Corporation are competing refineries situated on the Gulf coast. The two firms cooperate to obtain federal funds to build a levee that could protect their facilities from rising sea levels. With respect to antitrust law, this effort is

Accepted Answer

A)   a violation because it is "objectively baseless."
B)   a violation because funds will be spent for an anticompetitive purpose.
C)   a violation because it involves a conspiracy to affect market power.
D)   exempt from antitrust enforcement.E) All of the above
F) A) and D)

Question 8

Every threat of monopolization is condemned as a violation of antitrust law even fi the alleged offender does not possess some degree of market power.

Accepted Answer

A) True 
 B)False

Question 9

Any agreement that results in enhanced market power violates the antitrust laws.

Accepted Answer

A) True 
 B)False

Question 10

Restraints of trade are laws that regulate economic competition.

Accepted Answer

A) True 
 B)False

Question 11

The Medical Device Makers Association does not include all manufacturers of medical and surgical instruments. The association refuses to deal with any parties who do not carry the products of its members. This is

Accepted Answer

A)   a situation that neither restrains trade nor harms competition.
B)   not within the scope of the Sherman Act.
C)   a per se violation of antitrust law.
D)   subject to analysis under the rule of reason.E) All of the above
F) B) and D)

Question 12

Because a single seller is free to deal with whomever it wishes, the seller's unilateral refusal to deal cannot violate Section 2 of the Sherman Act.

Accepted Answer

A) True 
 B)False

Exam 27: Antitrust Law

Every threat of monopolization is condemned as a violation of antitrust law even fi the alleged offender does not possess some degree of market power.

Correct Answer
verified

Expressly exempt from antitrust laws because it is not interstate commerce, according to the United Supreme Court, is

Correct Answer
verified

Any agreement that results in enhanced market power violates the antitrust laws.

Correct Answer
verified

The chief executive officers of the major U.S. steel makers would most likely be prosecuted under the antitrust laws if they

Correct Answer
verified

Oil Industries Inc. and Petro Corporation are competing refineries situated on the Gulf coast. The two firms cooperate to obtain federal funds to build a levee that could protect their facilities from rising sea levels. With respect to antitrust law, this effort is

Correct Answer
verified

Because a single seller is free to deal with whomever it wishes, the seller's unilateral refusal to deal cannot violate Section 2 of the Sherman Act.

Correct Answer
verified

Road Tires Inc. conditions the sale of its products to Service Stores on the buyer's agreement to buy Road's tire-repair kits. Under the Clayton Act, this deal is

Correct Answer
verified

Under the Clayton Act, a seller can condition the sale of a product on the buyer's promise not to deal in the goods of the seller's competitors.

Correct Answer
verified

Any contract, combination in the form of a trust, or conspiracy to restrain trade and commerce can be declared illegal under the antitrust laws.

Correct Answer
verified

The Medical Device Makers Association does not include all manufacturers of medical and surgical instruments. The association refuses to deal with any parties who do not carry the products of its members. This is

Correct Answer
verified

Bio Med Corporation makes and sells Curative, the most prescribed name-brand pain-relief medication. Drugs Inc. has the potential to make a generic version of the same drug. Bio Med agrees to pay Drugs not to make or sell the generic. This agreement is most likely

Correct Answer
verified

Restraints of trade are laws that regulate economic competition.

Correct Answer
verified

Exam 27: Antitrust Law

Every threat of monopolization is condemned as a violation of antitrust law even fi the alleged offender does not possess some degree of market power.

Correct AnswerverifiedShow Answer

Expressly exempt from antitrust laws because it is not interstate commerce, according to the United Supreme Court, is

Correct AnswerverifiedShow Answer

Any agreement that results in enhanced market power violates the antitrust laws.

Correct AnswerverifiedShow Answer

The chief executive officers of the major U.S. steel makers would most likely be prosecuted under the antitrust laws if they

Correct AnswerverifiedShow Answer

Oil Industries Inc. and Petro Corporation are competing refineries situated on the Gulf coast. The two firms cooperate to obtain federal funds to build a levee that could protect their facilities from rising sea levels. With respect to antitrust law, this effort is

Correct AnswerverifiedShow Answer

Because a single seller is free to deal with whomever it wishes, the seller's unilateral refusal to deal cannot violate Section 2 of the Sherman Act.

Correct AnswerverifiedShow Answer

Road Tires Inc. conditions the sale of its products to Service Stores on the buyer's agreement to buy Road's tire-repair kits. Under the Clayton Act, this deal is

Correct AnswerverifiedShow Answer

Under the Clayton Act, a seller can condition the sale of a product on the buyer's promise not to deal in the goods of the seller's competitors.

Correct AnswerverifiedShow Answer

Any contract, combination in the form of a trust, or conspiracy to restrain trade and commerce can be declared illegal under the antitrust laws.

Correct AnswerverifiedShow Answer

The Medical Device Makers Association does not include all manufacturers of medical and surgical instruments. The association refuses to deal with any parties who do not carry the products of its members. This is

Correct AnswerverifiedShow Answer

Bio Med Corporation makes and sells Curative, the most prescribed name-brand pain-relief medication. Drugs Inc. has the potential to make a generic version of the same drug. Bio Med agrees to pay Drugs not to make or sell the generic. This agreement is most likely

Correct AnswerverifiedShow Answer

Restraints of trade are laws that regulate economic competition.

Correct AnswerverifiedShow Answer

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