Question

The Celler-Kefauver Antimerger Act of 1950 __________.a. made interlocking directorates illegal. b. banned anticompetitive mergers that occurred as a result of one company acquiring the physical assets of another company. c. attempted to decrease the failure rate of small businesses by protecting them from the competition of large and growing chain stores. d. both a and b e. all of the above

Answer 1

Answer:

b. banned anticompetitive mergers that occurred as a result of one company acquiring the physical assets of another company

Explanation:

.Celler–Kefauver Act often referred to as Anti-Merger Act, is a United States federal law passed by the US congress in 1950. The purpose of the Act is to reformed and strengthened the Clayton Antitrust Act which was passed in 1914, which in turn, originally is an amendment to the Sherman Antitrust Act of 1890.

In other words, the main purpose of the Act is to eliminate a loophole to link firms to the acquisition and acquisition of assets that are not direct competitors.

Also, the Act is in response to how smarter traders were able to find ways to buy competitive property around the Clayton Act.

However, under Celler–Kefauver Act, asset acquisition competition decreases, and that practice is banned entirely.