Why Did the Justice Department Drop Its 1998 Antitrust Lawsuit

question 54

Multiple Choice

Why did the Justice Department drop its 1998 antitrust lawsuit against Microsoft?

• A) The department could no longer afford to continue the lawsuit.
• B) The Supreme Court denied their appeals request.
• C) A new president was elected and he decided not to press the case.
• D) Congress put pressure on the department to drop the suit.
• E) Public opinion was overwhelmingly behind Microsoft.

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Definitions:

Marginal Cost

The increase in cost resulting from the production of an extra good or service unit.

Total Cost

The sum of all costs associated with the production of a given quantity of output, including both fixed and variable costs.

Output Units

The individual items or quantities of a product that are produced by a company or an economic production process.

Total Variable Cost

The total of expenses that change in proportion to the activity of a business, such as materials and labor, in contrast to fixed costs.