What are Antitrust Laws?
A. Antitrust laws protect the economy by ensuring that business practices remain competitive and fair. The statutes cover virtually every industry, at every level of the business chain, from manufacturing to marketing. At the heart of federal antitrust law is the 1890 Sherman Antitrust Act, which Congress passed in response to the monopolistic practices of the late 19th century coal, steel, and oil industries. The Sherman Act — only one paragraph long — broadly prohibits restraints on trade, conspiracies to restrain trade, illegal monopolies, price fixing, and price discrimination whose effects are to weaken or eliminate open competition in the marketplace. Most states have passed comparable statutes to prohibit improper trade practices and protect the economy.
