Question

What is the purpose of the sherman antitrust act

Answer 1

The Sherman Anti-Trust Act outlawed monopolistic business practices.

The Sherman Anti-Trust Act  was the first measure by Congress to prohibit trusts. It was passed by Congress in 1890.  A trust was when  stockholders in multiple  companies transferred their stock shares to a single group of trustees. Thus a whole industry area could be dominated by a single "trust" organization, destroying the free market of business competition. . This was a monopolistic practice which the Sherman Anti-Trust Act ended.

Answer 2

The Sherman Anti-Trust Act was the first Federal act that outlawed monopolistic business practices. The Sherman Antitrust Act of 1890 was the first measure passed by the U.S. Congress to prohibit trusts.