outline4 - POLITICAL SCIENCE 149: TOPIC 2/LECTURE 3...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
1 POLITICAL SCIENCE 149: TOPIC 2/LECTURE 3 (OUTLINE #4) Regulatory Responses to the Trust Problem I. Before the trust problem: the principles of 19th century business regulation A. The common law (distinguished from statute law) 1. Customary law/judge-made law vs. law enacted by legislatures a. Regulation of persons and property the authority of which rests on A ancient usage and custom, @ especially as recognized, affirmed, and enforced through the judgments of the courts. B. No federal common law in U.S. But British common law incorporated into system of American state law after the American revolution. 1. A Restraint of trade @ a. Artificial restrictions on right of individual to enter into an occupation and compete freely in the marketplace 1) ideology of free labor 2. Contracts in restraint of trade a. Formal agreements to stop competing (in the sense of withdrawing from the market ). 1) Common law broadly intolerant ; enforce only under specific conditions a) the A rule of reason @ and partial restraints 3. Combinations in restraint of trade a. Formal agreements to stop competing by joint action (in the sense of agreeing to abide by common schedule of prices, output levels, market shares, etc. 1) Common law broadly tolerant of combinations in restraint of trade a) Part of citizen's right of voluntary association
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
2 b) Public not harmed so long as (1) potential competitors can enter the market, (2) consumers not compelled by necessity to buy II. The emergence of an antitrust movement: competition vs. cooperation; liberty vs. power. A.
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 04/02/2008 for the course POL SCI 149 taught by Professor James during the Winter '08 term at UCLA.

Page1 / 5

outline4 - POLITICAL SCIENCE 149: TOPIC 2/LECTURE 3...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online