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In a freely competitive market, each competing business generally will try to attract consumers by cutting its prices and increasing the quality of its product or services. Competition and the profit opportunities it brings also stimulate businesses to find new, innovative and more efficient methods of production. Consumers benefit from competition through lower prices, better products and services.
The first U.S. legislation to curb agreements that restrict trade and reduce economic competition was the Sherman Antitrust Act, which was passed by Congress in 1890. It made it illegal to mon…
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