The main purpose of the Sherman Antitrust Act of 1890 and the Clayton Antitrust Act of 1914 was to promote fair competition and prevent monopolistic practices in the United States.
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Sherman Antitrust Act (1890): This was the first federal legislation aimed at curbing monopolies and restraining trade. It made it illegal to restrain trade or commerce among states or with foreign nations and prohibited monopolistic practices. The Act was designed to break up large corporate trusts and prevent the formation of monopolies that could harm consumers and stifle competition.
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Clayton Antitrust Act (1914): This Act built upon the foundation laid by the Sherman Act by addressing specific practices that were seen as harmful to competition. It sought to prevent anti-competitive mergers and acquisitions, prohibit certain types of price discrimination, and outlaw practices like exclusive dealing agreements that constrict competition. The Clayton Act also provided more detailed definitions of illegal practices and established mechanisms for enforcement, making it easier for individuals and businesses to sue for damages.
Together, these acts aimed to ensure a level playing field in the marketplace, protect consumers, and foster competition. They laid the groundwork for future antitrust legislation and enforcement in the U.S.
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