Explain how government intervention in the form of anti-trust laws can benefit the economy.(1 point)

Question

Responses

Anti-trust laws decrease competition. Less competition means worse prices, less innovation, and less consumer choice.
Anti-trust laws decrease competition. Less competition means worse prices, less innovation, and less consumer choice.
Anti-trust laws can create more competition. More competition means worse prices, less innovation, and less consumer choice.
Anti-trust laws can create more competition. More competition means worse prices, less innovation, and less consumer choice.
Anti-trust laws decrease competition. Less competition means better prices, greater innovation, and more consumer choice.
Anti-trust laws decrease competition. Less competition means better prices, greater innovation, and more consumer choice.
Anti-trust laws can create more competition. More competition means better prices, greater innovation, and more consumer choice.

Answer 1

The correct response regarding government intervention in the form of anti-trust laws and its benefits to the economy is:

Anti-trust laws can create more competition. More competition means better prices, greater innovation, and more consumer choice.

Anti-trust laws are designed to prevent monopolies and promote competition, which can lead to lower prices for consumers, increased innovation, and a wider array of products and services in the marketplace. When competition thrives, companies are incentivized to improve their offerings and find more efficient ways to operate, benefiting the overall economy.