Discussion 1
Antitrust policies in the United States are both federal and state laws that are applied to regulate business conduct and organization of corporations. They are used with the aim of promoting fair competition and benefit consumers from unfair prices due to unfair competition practices. The antitrust laws prohibit unlawful mergers and unlawful business practices (Ftc.gov, 2015).
Identify one way economic regulations impact monopolies and discuss whether or not you believe that works effectively
Monopolies have tendency to control the market by dictating the price of goods and services. Monopolies have the sole right of being the sole providers of goods and services. They usually do not have competition or have weak competitors. …show more content…
Provide specific examples to support your response.
The anti-trust laws protect the competition process by ensuring that there is fair competition among companies. The Sherman Act prohibits any contract that conspires to restrain trade and also prohibits creation of monopolies or conspiracy to do the same (Ftc.gov, 2015). Acts such as arrangements among competitors or businesses to fix prices and divide markets are prohibited. These acts are considered criminal and individuals are liable to prosecution. The Federal Trade Commission Act prohibits unfair methods of competition such as mergers and deceptive acts and practices. These laws ensure that businesses are given space to operate in fair environments and set prices according to the market trends. This eliminates unfair competition and promotes competition. The existing anti-trust laws can be improved by giving courts more powers to prosecute any violations and setting up an independent body to monitor business competition and malpractices.
Discussion …show more content…
Provision of defense affects everyone in the country and it’s financed by taxation. If one person in a certain geographical location is defended form foreign attacks, other people in that location will also be defended. Provision of defense services can be optimized by provision of funding from the government and ensuring that procurement of equipment and other weapons is strongly regulated by the government. Special interest groups such as terrorists have an interest in the defense of a country and would want to seek control at the expense of national security. Provision of this public good should therefore be solely left to the government and people should demand for better security services by paying
Antitrust policies in the United States are both federal and state laws that are applied to regulate business conduct and organization of corporations. They are used with the aim of promoting fair competition and benefit consumers from unfair prices due to unfair competition practices. The antitrust laws prohibit unlawful mergers and unlawful business practices (Ftc.gov, 2015).
Identify one way economic regulations impact monopolies and discuss whether or not you believe that works effectively
Monopolies have tendency to control the market by dictating the price of goods and services. Monopolies have the sole right of being the sole providers of goods and services. They usually do not have competition or have weak competitors. …show more content…
Provide specific examples to support your response.
The anti-trust laws protect the competition process by ensuring that there is fair competition among companies. The Sherman Act prohibits any contract that conspires to restrain trade and also prohibits creation of monopolies or conspiracy to do the same (Ftc.gov, 2015). Acts such as arrangements among competitors or businesses to fix prices and divide markets are prohibited. These acts are considered criminal and individuals are liable to prosecution. The Federal Trade Commission Act prohibits unfair methods of competition such as mergers and deceptive acts and practices. These laws ensure that businesses are given space to operate in fair environments and set prices according to the market trends. This eliminates unfair competition and promotes competition. The existing anti-trust laws can be improved by giving courts more powers to prosecute any violations and setting up an independent body to monitor business competition and malpractices.
Discussion …show more content…
Provision of defense affects everyone in the country and it’s financed by taxation. If one person in a certain geographical location is defended form foreign attacks, other people in that location will also be defended. Provision of defense services can be optimized by provision of funding from the government and ensuring that procurement of equipment and other weapons is strongly regulated by the government. Special interest groups such as terrorists have an interest in the defense of a country and would want to seek control at the expense of national security. Provision of this public good should therefore be solely left to the government and people should demand for better security services by paying