Question 1

Which of the following involves selling substantially identical goods at reasonably contemporaneous times to different purchasers at different prices,where the effect may substantially lessen competition or tend to create a monopoly?

Accepted Answer

A)  Price discrimination
B)  Predatory pricing
C)  Resale price maintenance
D)  Conscious parallelismE) B) and C)
F) None of the above

Question 2

By its nature a(n)  _____ results in market foreclosure; that is,competitors are denied a source of supply or a market for sale.

Accepted Answer

A)  price differential
B)  exclusive deal
C)  tying arrangement
D)  free riderE) B) and C)
F) A) and C) B

Question 3

Conscious parallelism,which is allowed under the Sherman Act,arises from an explicit agreement between competitors.

Accepted Answer

A) True 
 B)False

Question 4

Price discrimination involves selling substantially identical goods at reasonably contemporaneous times to different purchasers at different prices.

Accepted Answer

A) True 
 B)False

Question 5

Predatory pricing:

Accepted Answer

A)  involves pricing below cost until a competitor drops out and then raising those prices to supracompetitive levels.
B)  involves selling substantially identical goods at reasonably contemporaneous times to different purchasers at different prices.
C)  prevents distributors from selling to some classes of customers.
D)  imposes nonprice restraints including where and to whom products may be resold.E) A) and B)
F) None of the above

Question 6

What is price discrimination? What are the defenses to a Robinson-Patman charge?

Accepted Answer

Price discrimination involves selling su...

Question 7

Vertical territorial and customer restraints are to be resolved under the rule of reason.

Accepted Answer

A) True 
 B)False

Question 8

Section 2 of the Sherman Antitrust Act,1890 forbids:

Accepted Answer

A)  price discrimination.
B)  monopolization.
C)  tying arrangements.
D)  patents and copyrights.E) B) and D)
F) None of the above

Question 9

A company agrees to restrict sales to the east of the city,and its competitor agrees to restrict sales to the west of the city.This arrangement is lawful under the Sherman Act.

Accepted Answer

A) True 
 B)False

Question 10

The rule of reason refers to the Supreme Court's position that all restraints of trade are per se unlawful.

Accepted Answer

A) True 
 B)False

Question 11

Vertical restraints are those arising from an agreement among competitors.

Accepted Answer

A) True 
 B)False

Question 12

Tying arrangements are a form of nonprice vertical restraint.

Accepted Answer

A) True 
 B)False

Question 13

Which of the following statements is true of the Clayton Act?

Accepted Answer

A)  Injured parties cannot sue for injunctive relief under the Clayton Act.
B)  The Clayton Act opens participants to criminal penalties in case of any violation of the act.
C)  The Clayton Act does not provide for criminal law remedies.
D)  The Clayton Act facilitates tying arrangements.E) A) and B)
F) C) and D) C

Question 14

In general,criminal law remedies are not available under the Clayton Act.

Accepted Answer

A) True 
 B)False

Question 15

When competitors collude,conspire,or agree among themselves,they are engaging in vertical restraints of trade.

Accepted Answer

A) True 
 B)False

Question 16

Explain predatory pricing with examples.

Accepted Answer

In 2009,the European Commission fined In...

Question 17

Which of the following is a difference between vertical restraints and horizontal restraints?

Accepted Answer

A)  Vertical restraints,in general,are based on tacit understanding while horizontal restraints,in general,are based on mutual observation.
B)  Vertical restraints eliminate competition,while horizontal restraints promote competition.
C)  Vertical restraints are those arising from an agreement among competitors themselves,while horizontal restraints ordinarily are those imposed by suppliers on their buyers.
D)  Vertical restraints,in general,are resolved under the rule of reason while horizontal restraints,in general,are per se unlawful.E) All of the above
F) None of the above D

Question 18

Which of the following statements is true of vertical restraints?

Accepted Answer

A)  They typically arise from an agreement among competitors themselves.
B)  They are to be resolved under the rule of reason.
C)  They are per se unlawful.
D)  They tend to drive product prices down and quality up.E) All of the above
F) None of the above

Question 19

Many businesses in competition meant that none of them could corner economic,political,or social power.Which of the following goals of antitrust law best describes the above statement?

Accepted Answer

A)   The preservation of competition
B)   The preservation of small businesses
C)   An expression of political radicalism
D)   The preservation of democracyE) B) and C)
F) A) and B)

Question 20

The Federal Trade Commission's primary enforcement device is _____.

Accepted Answer

A)  arbitration
B)  the requirements contract
C)  imposing criminal penalties
D)  the cease and desist orderE) All of the above
F) B) and C)

Exam 10: Antitrust Law-Restraints of Trade

Which of the following involves selling substantially identical goods at reasonably contemporaneous times to different purchasers at different prices,where the effect may substantially lessen competition or tend to create a monopoly?

Correct AnswerverifiedShow Answer

By its nature a(n) _____ results in market foreclosure; that is,competitors are denied a source of supply or a market for sale.

Correct AnswerverifiedB

Conscious parallelism,which is allowed under the Sherman Act,arises from an explicit agreement between competitors.

Correct AnswerverifiedShow Answer

Price discrimination involves selling substantially identical goods at reasonably contemporaneous times to different purchasers at different prices.

Correct AnswerverifiedShow Answer

Predatory pricing:

Correct AnswerverifiedShow Answer

What is price discrimination? What are the defenses to a Robinson-Patman charge?

Correct AnswerverifiedPrice discrimination involves selling su...View AnswerShow Answer

Vertical territorial and customer restraints are to be resolved under the rule of reason.

Correct AnswerverifiedShow Answer

Section 2 of the Sherman Antitrust Act,1890 forbids:

Correct AnswerverifiedShow Answer

A company agrees to restrict sales to the east of the city,and its competitor agrees to restrict sales to the west of the city.This arrangement is lawful under the Sherman Act.

Correct AnswerverifiedShow Answer

The rule of reason refers to the Supreme Court's position that all restraints of trade are per se unlawful.

Correct AnswerverifiedShow Answer

Vertical restraints are those arising from an agreement among competitors.

Correct AnswerverifiedShow Answer

Tying arrangements are a form of nonprice vertical restraint.

Correct AnswerverifiedShow Answer

Which of the following statements is true of the Clayton Act?

Correct AnswerverifiedC

In general,criminal law remedies are not available under the Clayton Act.

Correct AnswerverifiedShow Answer

When competitors collude,conspire,or agree among themselves,they are engaging in vertical restraints of trade.

Correct AnswerverifiedShow Answer

Explain predatory pricing with examples.

Correct AnswerverifiedIn 2009,the European Commission fined In...View AnswerShow Answer

Which of the following is a difference between vertical restraints and horizontal restraints?

Correct AnswerverifiedD

Which of the following statements is true of vertical restraints?

Correct AnswerverifiedShow Answer

Many businesses in competition meant that none of them could corner economic,political,or social power.Which of the following goals of antitrust law best describes the above statement?

Correct AnswerverifiedShow Answer

The Federal Trade Commission's primary enforcement device is _____.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
B

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
Price discrimination involves selling su...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
C

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
In 2009,the European Commission fined In...
View Answer

Correct Answer
verified
D

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified