What is the purpose of the Sherman Antitrust act?

Answer 1

Federal legislation passed in 1890 prohibiting "monopolies or attempts to monopolize" and "contracts, combinations, or conspiracies in restraint of trade" in interstate and foreign commerce. The major purpose of the Sherman Antitrust Act was to prohibit monopolies and sustain competition so as to protect companies from each other and to protect consumers from unfair business practices. The act was supplemented by the clayton antitrust act in 1914. Both acts are enforced by the Federal Trade Commission (FTC) and the Antitrust Division of the U.S. Attorney General's office. (source: answers.com)

Answer 2

The aim of the Sherman Act of 1890 (Sherman Antitrust Act) was to prevent and to break up large groups of corporations (trusts) that monopolized an area of commerce, and thereby controlled the prices and operations of an industry (such as railroads, steel, or oil). Trusts eliminated the competition that would normally act to keep prices at a free market level.

Some powerful corporate directors used trusts to control entire areas of the economy, at the expense of smaller companies that became the victims of their anti-competitive practices.

President Theodore Roosevelt (in office 1901-1909) later became known as the Trust-Buster for his actions to prevent monopolies.

Answer 3

I don't believe you meant to phrase your question quite like that but i can tell you that in the mid to late 1800's there were quite a few monopolies (which are companies that own the market of there product). An example of one would be the Vanderbilt's monopoly on railroads. The Sherman Antitrust Act was passed in 1890 basically to limit monopolies an create competition in various markets. Hope this helped!

Answer 4

The Sherman Antitrust Act is a law that prohibits certain business activities that seem to be anti-competitive and requires the Federal government to look into and pursue 'trusts.'