The purpose of the Horizontal Merger Guidelines developed by the Department of Justice and the FTC is to prevent customers from being harmed by the increased market power that might result from a merger of two or more firms

Refer to the figure above. Social surplus can be increased by ________

A) increasing output above 13 million units B) reducing output below 13 million units C) increasing the price above $22 D) charging a price of $22

Antitrust laws

a. prevent firms from maximizing profits. b. allow the government to prevent mergers, even ones that would benefit consumers. c. require the government to measure both the benefits and costs of a potential merger. d. All of the above are correct.