The Legality of Price Fixing
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A farmer has an agreement for a fixed price of a product that is being sold in interstate commerce for a competitive price. Is this legal? Doesn't the trade commerce have regulations against this type of action?
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Solution Summary
This solution assess whether a particular business deal that involves price fixing is illegal. The solution refers to the Sherman Antitrust Act of 1890 and the Clayton Antitrust Act of 1914 to assess the legality of the deal.
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The Sherman Antitrust Act of 1890 was intended to "protect the consumers by preventing arrangements designed, or which tend, to advance the cost of goods to the consumer". With this in mind, the act ...
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