Vocabulary
A set of rules or laws designed to control business behavior.
What is REGULATION?
What does "M&A" stand for?
What is MERGERS AND ACQUISITIONS
Occurs when businesses agree to set prices for competing products.
What is PRICE FIXING?
Requires a firm to stop an unfair business practice.
What is CEASE AND DESIST ORDER?
What immediate effects did the Airline Deregulation Act have on ticket prices?
The act resulted in a significant decrease in ticket costs, with a reported 10-18% decrease.
Defines monopolies and gives government the power to control them.
What is ANTITRUST LEGISLATION?
The most important laws that promote competition are called....
What is ANTITRUST LEGISLATION?
Occurs when competing businesses divide a market amongst themselves.
What is TRICK QUESTION!
Reduces or removes government control of business.
What is DEREGULATION?
A group of firms combined in order to reduce competition in an industry.
What is TRUST?
Sometimes the government uses ______ to promote competition and protect consumers.
What is REGULATION
The name of the Deputy Premier, Minister for Financial Services and Commerce and investment, Innovation and Social Development.
What is HON. ANDRE M. EBANKS, MP
A cease and desist order and a public disclosure both do what together?
It protects consumers and promotes competition by giving consumers the information they need to make informed buying decisions.
What was the purpose of the Airline Deregulation Act of 1978 ?
The Airline Deregulation Act of 1978 sought to eliminate government control over aircraft routes and pricing, leaving only safety requirements in place.
The joining of two firms to form a single firm.
What is MERGER?
Name two firms that offers legal advice on M&A transactions.
What is CIMA AND MAPLES?
Occurs when businesses set prices below cost for a time to drive competitors out of a market.
What is PREDATORY PRICING?
A policy that requires businesses to reveal product information.
What is PUBLIC DISCLOSURE?
What was the main argument made by corporations and economists in favor of decreasing government restrictions in the 1970s, and how did it affect the government's decision to begin on a deregulation process?
The main argument was that government regulations were harming profits.
What is NOVEMBER 29, 1982
Standard Oil gained control of what percentage of the US oil industry? and How?
90%
by merging with other companies and eliminating competitors.
Example of Market Allocation that was described.
What is...
"If the 5 districts in Cayman divide up their supermarket (Fosters) so only consumers in each district are limited to buying from the only Fosters in that area."
What is the purpose of the Federal trade commission?
To enforce antitrust laws and monitors unfair business practices, including deceptive advertising.
How did the argument for less government regulation fit with the government's choice to start the deregulation process in the 1970s?
In response to corporate and economist concerns, the government acknowledged the possible economic advantages of decreased restrictions.