Vertical Restraints in a Contract

question 61

Multiple Choice

Vertical restraints in a contract

• A)are generally illegal in the U.S.
• B)usually benefit the firm that produces the raw inputs to the production process.
• C)are used in vertical mergers.
• D)can approximate the outcome of a vertical merger.

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Definitions:

Eating Establishments

Businesses that serve food and beverages for consumption by the public, such as restaurants and cafes.

Operational

Referring to the day-to-day activities, processes, and functionalities of a business or organization.

Rate of Interest

The percentage of a sum of money charged for its use, typically expressed as an annual rate.

Account

An arrangement with a financial institution for the deposit and withdrawal of money.