The "Rule of Reason

question 86

Multiple Choice

The "rule of reason"

• A)applies to business practices that are illegal regardless of their economic rationale or their consequences
• B)applies to business practices that are legal, regardless of their consequences
• C)means that business practices cannot be proven to be illegal, and a consent decree is required to halt the practices
• D)considers why a certain business practice was adopted and what the effects on competition are, before determining whether the practice is illegal
• E)focuses on market structure rather than on the behavior of firms in determining whether antitrust violations have occurred

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Definitions:

Anchor

A device, usually made of metal, used to connect an object to a base or a fixed point to prevent or restrict movement.

Rotate

To turn or spin around an axis or center point.

Self-adjuster

A component in drum brakes that automatically maintains the correct distance between the brake shoes and drum.

Threaded Self-adjuster

A component in drum brakes that automatically adjusts the brake shoes’ positioning to maintain optimal distance from the drum.