American Express Had Agreements with All of Its Merchants That

question 42

Multiple Choice

American Express had agreements with all of its merchants that prohibited them from steering their customers to use other cards.The reason merchants wanted to make recommendations on which card to use was because American Express charges that merchants pay to credit card companies for customer processing were higher than those for Visa and MasterCard.Merchants wanted to offer customers discounts for using Visa or MasterCard and some just wanted to post signs reading,"We prefer Visa." If they did so,American Express would not continue its services for them,something that caused the merchants to lose American Express cardholders as customers.Which of the following antitrust doctrines apply to American Express's policy?​

• A)​monopolization
• B)​refusals to deal
• C)boycotting
• D)both a and b
• E)all of the above

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Definitions:

Biological Perspective

An approach in psychology and biology that explains behaviors and mental processes through biological factors, such as genetics, neurotransmitters, and the anatomy of the brain.

Mass Media

Diverse media technologies that reach a large audience via mass communication, encompassing news, entertainment, and advertising through outlets like TV, radio, and the Internet.

Emphasis

The importance, stress, or prominence given to something in speaking, writing, or actions, highlighting its significance.

United States

A country located primarily in North America, consisting of 50 states, a federal district, and various territories.