1

Essential Question:Essential Question:Explain the attitude of the U.S. government

before the 1880’s (explain the term Laissez Faire), Identify the 3 purposes of early antitrust legislation, list two examples of businesses affected by anti-trust legislation, Evaluate which of the U.S. Antitrust acts (use the chart) is most significant in your opinion and explain why

Market RegulationMarket RegulationSECTION 3

2

Laissez-faire relationship between the Laissez-faire relationship between the federal government and businessfederal government and business Before the 1880s, the U.S. government did not interfere

with business or the marketplace. The government allowed Businesses to develop into monopolies Why?

The United States was emerging as an industrial powerhouse and our economy was expanding like never before. The problem?

Businesses were now able to sacrifice public good for profit

Market RegulationMarket RegulationSECTION 3

3

3 Purposes of early antitrust 3 Purposes of early antitrust legislation:legislation: to monitor and regulate big business to prevent formation of monopolies to break up existing monopolies

Market RegulationMarket RegulationSECTION 3

4

Government enforcement of antitrust legislation:Government enforcement of antitrust legislation: broke up Standard Oil Company of Ohio in 1911 and

AT&T in 1982 with the Sherman Antitrust Act created watchdog groups, such as the Interstate

Commerce Commission and the Federal Trade Commission

strengthened antitrust legislation with acts such as the Celler-Kefauver Act of 1950, the Antitrust Procedures and Penalties Act of 1975, and the Parens Patriae Act of 1976

Market RegulationMarket RegulationSECTION 3

5

U.S. Antitrust Legislation:U.S. Antitrust Legislation: Using your textbook, turn to page 133 Copy down the chart titled “U.S. antitrust legislation” Be sure to include the year, the name of the

legislation, and the purpose behind to act. Once you are finished, review the information for

each act and select which act you feel was the most important in terms of protecting public good from “big business” (use this info in your summary)

Market RegulationMarket RegulationSECTION 3