Tech Companies' Anti-Competitive Practices Quiz
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Tech Companies' Anti-Competitive Practices Quiz

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Questions and Answers

What is the primary reason for allowing natural monopolies to exist?

  • To promote competition and innovation
  • To prevent redundant infrastructure and services (correct)
  • To encourage diversification of products and services
  • To ensure fair pricing for consumers
  • Which of the following is an example of an oligopoly?

  • The airline industry
  • The automobile industry
  • The telecommunications industry
  • All of the above (correct)
  • What is the primary reason for government regulation of oligopolies?

  • To prevent collusion and anti-competitive practices (correct)
  • To encourage innovation and product diversification
  • To promote the entry of new firms into the market
  • To ensure fair pricing for consumers
  • What is the difference between a horizontal merger and a vertical merger?

    <p>A horizontal merger involves companies in the same industry, while a vertical merger involves companies in the entire supply chain of an industry</p> Signup and view all the answers

    Which of the following is NOT a potential reason for companies to merge?

    <p>To promote competition and prevent monopolistic practices</p> Signup and view all the answers

    What is the primary concern regarding commercial media control, according to the text?

    <p>Lack of diversity in news content and perspectives</p> Signup and view all the answers

    What was the ruling in the United States (1945) case regarding news organizations?

    <p>News organizations were found to be violating antitrust laws by conspiring to restrict content</p> Signup and view all the answers

    What is the primary difference between an unorganized oligopoly and an organized oligopoly?

    <p>An unorganized oligopoly does not involve collusion, while an organized oligopoly involves explicit collusion</p> Signup and view all the answers

    What is the primary difference between a conglomerate merger and a horizontal or vertical merger?

    <p>A conglomerate merger involves companies in unrelated industries, while horizontal and vertical mergers involve companies in the same industry</p> Signup and view all the answers

    Which of the following is NOT a potential market failure in commercial media content?

    <p>Overrepresentation of popular entertainment content</p> Signup and view all the answers

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