Exam 18: Big Business and Government Intervention

The Sherman Antitrust Act of 1890 was not well understood because

What is the Interstate Commerce Commission (ICC)Act of 1887? When did the ICC acquire the power to set transportation rates? Why did some individuals argue that it served as a cartel manager? Why did others claim that the ICC served the interest of customers over those of the regulated businesses? Discuss the controversy.

The U.S.experience with the rise and fall of its railroad industry illustrates that central planners are less likely than private investors to allocate investment funds into wealth-creating projects.

The major problem with the Sherman Antitrust Act of 1890 was that

How does the federal government influence the flow of goods and services into the country and,consequently,create extra profitability or rents in domestic production that would not have been ?there under free market conditions?

Since colonial times,the U.S.government controlled businesses at some level by:

In the pivotal Supreme Court decision Munn v Illinois (1877),the court held that only natural monopolies were subject to federal government regulation.

In Nebbia v New York (1934),the doctrine of Munn v Illinois (1877)

Describe the significance of the changes in federal government control over markets between 1887 and 1914 in U.S.

In which case did the U.S.Supreme Court decide the Constitution was "intended to endure for ages to come and,consequently,to be adapted to various crises of human affairs"?

As a result of the case of Dartmouth College v Woodward (1819),the Federal Trade Commission was formed years later in 1914.

Albro Martin (1971)argues that the Interstate Commerce Commission (1887-1995)was captured by its customers,not the railroad industrialists.Other researchers like Gabriel Kolko (1965)highlight the involvement of railroad industrialists in capturing this government agency to serve a cartel role,too.

A "great merger movement," whereby firms combined with former rivals to become large firms,began in the 1890s.Who was the first President to look to bigger government as a way to cope with the economic power of these concentrated industries?

Why do some individuals argue that federal government intervention was necessary to establish?a system of checks and balances over the economic power of big businesses?

The real purpose of the Webb-Pomerene Act of 1918 was to alter the terms of trade in favor of the United States.

The Sherman Act of 1890 and the Clayton Act of 1914 were Antitrust Acts whose purposes included all of the following except

What was the first federal government agency established to regulate business?

Research in history and economic history shows that before 1880,significant federal participation?in the markets of the American economy occurred.

The Sherman Antitrust Act of 1890 was followed almost immediately in the 1890s by the largest merger movement ever known by Americans up to that point in U.S.history.

Which of the following was NOT a part of Chandler's (1977)description of the rise of big business?in the 19th century?