Question 1

All price discrimination is illegal under the Robinson-Patman Act.

Accepted Answer

A) True 
 B)False  False

Question 2

Boycotts that are in violation of the Sherman Act include:

Accepted Answer

A)  a seller's refusal to deal with any particular buyer. 
B)  a manufacturer who refuses to sell to a retailer who persists in selling below the manufacturer's suggested retail price. 
C)  when two or more firms that have market power agree not to deal with a third party,thereby eliminating competition. 
D)  cooperative agreements designed to increase economic efficiency and render markets more competitive. 
A)  a seller's refusal to deal with any particular buyer. 
B)  a manufacturer who refuses to sell to a retailer who persists in selling below the manufacturer's suggested retail price. 
C)  when two or more firms that have market power agree not to deal with a third party,thereby eliminating competition. 
D)  cooperative agreements designed to increase economic efficiency and render markets more competitive. C

Question 3

Under the Antitrust Criminal Penalty Enhancement and Reform Act of 2004,corporate offenders who violate Sections 1 or 2 of the Sherman Act face fines of up to $100 million per violation.

Accepted Answer

A) True 
 B)False  True

Question 4

Major,Inc.has 68% of the market share in a particular geographic region for one of its products.Does Major have a monopoly? Explain.

Accepted Answer

Monopoly power is the ability to control

Question 5

It is per se illegal under the Sherman Act to set a maximum price,but not a minimum price.

Accepted Answer

A) True 
 B)False

Question 6

Antitrust law,as currently applied,focuses primarily on the size of a company after a proposed merger.

Accepted Answer

A) True 
 B)False

Question 7

Widget Maker,Inc.manufactures and sells widgets.It sells widgets to Marklin of Marklin's Department Store and gives him a preference in pricing that discriminates against other retailers.Does Marklin have liability for price discrimination? Does Widget Maker,Inc.have liability for price discrimination? Explain.

Accepted Answer

Widget Maker,Inc.has liability under the

Question 8

Explain how price differentials may be justified so that the Robinson-Patman Act is not violated.

Accepted Answer

Price discrimination is forbidden only w

Question 9

The Robinson-Patman Act adds to the Clayton Act merger provisions.

Accepted Answer

A) True 
 B)False

Question 10

Which of the following remedies are available under the Sherman Act?

Accepted Answer

A)  Injunctive 
B)  Damages of four times the amount of actual loss sustained 
C)  Consequential damages 
D)  All of these 
A)  Injunctive 
B)  Damages of four times the amount of actual loss sustained 
C)  Consequential damages 
D)  All of these

Question 11

What are the major functions of the Federal Trade Commission (FTC)?

Accepted Answer

The Federal Trade Commission has two maj

Question 12

A wholesale manufacturer gets a retail outlet for its goods through a merger.This is a horizontal merger.

Accepted Answer

A) True 
 B)False

Question 13

The prevalent test of monopoly power is how big the corporation is in terms of total assets.

Accepted Answer

A) True 
 B)False

Question 14

If Hyvac Vacuum Cleaners requires that Hyvac bags be used for the warranty to be valid,under the Sherman Act,this is:

Accepted Answer

A)  illegal per se. 
B)  a tying arrangement,which is always judged by rule of reason. 
C)  either illegal per se or judged by the rule of reason depending on the economic power of the seller and the amount of interstate commerce in cleaner bags affected. 
D)  no violation. 
A)  illegal per se. 
B)  a tying arrangement,which is always judged by rule of reason. 
C)  either illegal per se or judged by the rule of reason depending on the economic power of the seller and the amount of interstate commerce in cleaner bags affected. 
D)  no violation.

Question 15

Group boycotts are illegal per se.

Accepted Answer

A) True 
 B)False

Question 16

The Clayton Act:

Accepted Answer

A)  was intended to stop certain trade practices before they become restraints of trade. 
B)  added criminal sanctions to the Sherman Act. 
C)  repealed the Robinson-Patman Act. 
D)  included labor organizations in its coverage. 
A)  was intended to stop certain trade practices before they become restraints of trade. 
B)  added criminal sanctions to the Sherman Act. 
C)  repealed the Robinson-Patman Act. 
D)  included labor organizations in its coverage.

Question 17

The Sherman Act:

Accepted Answer

A)  prohibits contracts and combinations in restraint of trade. 
B)  prohibits conspiracies in restraint of trade. 
C)  proscribes monopolization and any attempts to monopolize. 
D)  All of these. 
A)  prohibits contracts and combinations in restraint of trade. 
B)  prohibits conspiracies in restraint of trade. 
C)  proscribes monopolization and any attempts to monopolize. 
D)  All of these.

Question 18

In order for there to be a violation of Section 2 of the Sherman Act,in addition to monopoly power,the courts must find:

Accepted Answer

A)  unfair conduct. 
B)  concerted action. 
C)  competitive behavior. 
D)  economic advantage. 
A)  unfair conduct. 
B)  concerted action. 
C)  competitive behavior. 
D)  economic advantage.

Question 19

The National Cooperative Research Act is designed to inhibit formation of joint ventures.

Accepted Answer

A) True 
 B)False

Question 20

If Crazy Marbles lowers its price to all buyers of 1,000 or more marbles,it is not a violation of the Robinson-Patman Act.

Accepted Answer

A) True 
 B)False

Exam 40: Antitrust

All price discrimination is illegal under the Robinson-Patman Act.

Boycotts that are in violation of the Sherman Act include:

Under the Antitrust Criminal Penalty Enhancement and Reform Act of 2004,corporate offenders who violate Sections 1 or 2 of the Sherman Act face fines of up to $100 million per violation.

Major,Inc.has 68% of the market share in a particular geographic region for one of its products.Does Major have a monopoly? Explain.

It is per se illegal under the Sherman Act to set a maximum price,but not a minimum price.

Antitrust law,as currently applied,focuses primarily on the size of a company after a proposed merger.

Explain how price differentials may be justified so that the Robinson-Patman Act is not violated.

The Robinson-Patman Act adds to the Clayton Act merger provisions.

Which of the following remedies are available under the Sherman Act?

What are the major functions of the Federal Trade Commission (FTC)?

A wholesale manufacturer gets a retail outlet for its goods through a merger.This is a horizontal merger.

The prevalent test of monopoly power is how big the corporation is in terms of total assets.

If Hyvac Vacuum Cleaners requires that Hyvac bags be used for the warranty to be valid,under the Sherman Act,this is:

Group boycotts are illegal per se.

The Clayton Act:

The Sherman Act:

In order for there to be a violation of Section 2 of the Sherman Act,in addition to monopoly power,the courts must find:

The National Cooperative Research Act is designed to inhibit formation of joint ventures.

If Crazy Marbles lowers its price to all buyers of 1,000 or more marbles,it is not a violation of the Robinson-Patman Act.

Introduction to Law

Business Ethics and the Social Responsibility of Business

Civil Dispute Resolution

Constitutional Law

Administrative Law

A: Administrative Law

Criminal Law

Intentional Torts

Negligence and Strict Liability

Introduction to Contracts

Mutual Assent

Conduct Invalidating Assent

Consideration

Illegal Bargains

Contractual Capacity

Contracts in Writing

Third Parties to Contracts

Performance,breach,and Discharge

Contract Remedies

Relationship of Principal and Agent

Relationship With Third Parties

Introduction to Sales and Leases

Performance

Transfer of Title and Risk of Loss

Products Liability: Warranties and Strict Liability in Tort

Sales Remedies

Form and Content

Transfer and Holder in Due Course

Liability of Parties

Bank Deposits,collections,and Funds Transfers

Formation and Internal Relations of General Partnerships

Operation and Dissolution of General Partnerships

Limited Partnerships and Limited Liability Companies

Nature,formation,and Powers

Financial Structure

Management Structure

Fundamental Changes

Secured Transactions and Suretyship

Bankruptcy

Protection of Intellectual Property

Consumer Protection Double

Employment Law

Securities Regulation

Accountants Legal Liability

Environmental Law

International Business Law

Introduction to Property,property Insurance,bailments,and Documents of Title

Interests in Real Property

Transfer and Control of Real Property

Trusts and Decedents Estates

Legal Terminology: Understanding Criminal and Civil Law Systems

Contract Law Terminology

Exploring the Legal Concepts of Agency and Fiduciary Duty

Understanding Key Legal Concepts in Sales and Contracts

Understanding the Terminology of Banking and Finance: Key Concepts and Definitions

Exploring Legal Concepts and Processes in Business Partnerships

Understanding Corporate Law: A Guide to Ultra Vires Acts, Subscribers, Debt Securities, and More

Understanding Key Terms in Secured Transactions and Bankruptcy Law

Legal Topics and Terms

Legal Topics in Property Ownership and Management