Investor Glossary-antitrust lawsInvestor Glossary-antitrust lawsInvestor Glossary-antitrust lawsInvestor Glossary-antitrust lawsInsightful stock market charts - Click here
investor
Categories    # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z

Antitrust Laws

The HTML to link to this page
 

Antitrust laws are regulations enacted at the state and federal level that constrain businesses from accumulating or exerting excessive market power. Price fixing, restraint of trade, and monopolization of markets are among the business practices prohibited by antitrust laws. Contractual arrangements between buyers and sellers and collusion between competitors qualify as restraint of trade under antitrust laws. By preventing these practices, antitrust laws aim to promote fair competition and assure that the public will receive goods and services at market-determined prices. All industries, including manufacturing, distribution, transportation, and marketing, are subject to antitrust laws. Many states base their antitrust laws on the Sherman Anti-Trust Act of 1890, which established the basis for federal antitrust laws. In 1914, Congress created the Federal Trade Commission to administer and enforce antitrust laws and also passed the Clayton Act of 1914, a major set of amendments to the original statute. Congress further amended U.S. antitrust laws with the Robinson-Patman Act of 1936. The Department of Justice also has the authority to prosecute companies that break antitrust laws, and private parties are entitled to file civil lawsuits. Plaintiffs can collect triple damages if they prevail in litigation. Kodak in 1921 and 1954, Alcoa in 1937, and Microsoft in 1997 became targets of federal prosecution for violating antitrust laws.



Rate this antitrust laws definition...

Learn about investing with the Investor Glossary Term of the Day


Click here for insightful stock market charts. Where is the market headed? The answer may surprise you. Find out
with the exclusive & Barron's recommended charts of Chart of the Day.


Popular Terms: inflation, EBITDA, average price per share, current ratio, FTSE, 1035 exchange, LIBOR, annual return, deferred revenue, option premium, 401a, command economy, open position, real GDP, implied volatility, in escrow, quality assurance, cancelled check, dividends payable, covered put, stock split, 1031 exchange, class C shares, required rate of return, ex-dividend, limit order, risk management, Zero Cost Collar, reverse mortgage, minority interest, VIX, deferred tax, Key Rate Duration, margin rate, wholly-owned subsidiary, APR, 144a, diluted share, stock market close, FICO score, ex-dividend date, phantom income, per diem, debt service coverage, balance sheet, retained earnings, irrevocable trust, labor relations, liquidity ratio


Accounting | Banking | Bonds | Brokers | Economy | Futures | Mutual Funds | Options | Real Estate | Retirement | Stocks | Taxes | Technical Analysis
Home | Term of the Day | Suggest a Term | Chart of the Day | Dogs of the Dow
©2004-2016 Investor Glossary - All rights reserved - Terms of Use