Competition, Cartels and Their Regulation

By John Perry Miller | Go to book overview
Save to active project

CHAPTER 6
ANTITRUST POLICY: THE UNITED STATES EXPERIENCE1

JOHN PERRY MILLER

Yale University, New Haven, Conn., U.S.A.


I. INTRODUCTION

Antitrust policies in the United States reflect as much a deep seated and persisting suspicion of the social and political consequence of positions of unchecked economic power as they do a belief in the economic beneficence of competition.2 The Sherman Antitrust Act of 1890 followed a quarter century of discussion of the abuses of the growing large scale firms of the Post-Civil War period. Prior to the Civil War industry had been predominantly local in character. Corporate charters were granted sparingly, if increasingly, first by individual acts of the state legislatures and later under state enabling statutes providing for the grant of corporate charters to limited classes of industries.3 The behavior of business firms was limited and regulated, often very substantially, by the state legislatures and sometimes by the corporate charter itself.4 It was not until the Post-Civil War period that easy incorporation became freely available under state laws to any group who would go through simple routine procedures. With the passage of general incorporation statutes by the several states the corporate charter served less and less as an instrument of regulation. The growth of large firms engaged in business transcending the boundaries of a single state substantially weakened the effectiveness of state efforts to control business activities and led to a shift from state to federal controls over business. The development of large trusts, often controlling a substantial share of their respective markets, raised a challenge to deeply ingrained concepts of democracy, to the American preference for a dispersion of power, to the prevailing belief in equality of opportunity and to the contemporary sense of fair play.5 The growth of large firms had often been accomplished at the expense of small, "independent" firms. In some cases such firms had been merged or consolidated with the large firms voluntarily and on terms favorable to the former

-214-

Notes for this page

Add a new note
If you are trying to select text to create highlights or citations, remember that you must now click or tap on the first word, and then click or tap on the last word.
Loading One moment ...
Project items
Notes
Cite this page

Cited page

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited page

Bookmark this page
Competition, Cartels and Their Regulation
Settings

Settings

Typeface
Text size Smaller Larger
Search within

Search within this book

Look up

Look up a word

  • Dictionary
  • Thesaurus
Please submit a word or phrase above.
Print this page

Print this page

Why can't I print more than one page at a time?

While we understand printed pages are helpful to our users, this limitation is necessary to help protect our publishers' copyrighted material and prevent its unlawful distribution. We are sorry for any inconvenience.
Full screen
/ 430

matching results for page

Cited passage

Style
Citations are available only to our active members.
Sign up now to cite pages or passages in MLA, APA and Chicago citation styles.

Cited passage

Welcome to the new Questia Reader

The Questia Reader has been updated to provide you with an even better online reading experience.  It is now 100% Responsive, which means you can read our books and articles on any sized device you wish.  All of your favorite tools like notes, highlights, and citations are still here, but the way you select text has been updated to be easier to use, especially on touchscreen devices.  Here's how:

1. Click or tap the first word you want to select.
2. Click or tap the last word you want to select.

OK, got it!

Thanks for trying Questia!

Please continue trying out our research tools, but please note, full functionality is available only to our active members.

Your work will be lost once you leave this Web page.

For full access in an ad-free environment, sign up now for a FREE, 1-day trial.

Already a member? Log in now.

Are you sure you want to delete this highlight?