Question

Which statements describe the Sherman Antitrust Act of 1890?

Select TWO correct answers.
A. It attempted to encourage market competition through regulations.
B. It changed the relationship between the federal government and
private businesses.
C. It attempted to improve working conditions through regulations.
D. It changed the relationship between the federal government and
state legislatures.
E. It attempted to expand overseas trade through regulations.

Answer 1

The Sherman Antitrust Act of 1890 attempted to encourage market competition through regulations and changed the relationship between the federal government and private businesses.

Step-by-step explanation:

The Sherman Antitrust Act of 1890 was a federal law passed by Congress to target trusts and monopolies that were interfering with free market competition and interstate commerce. Two correct statements that describe the act are:

1. It attempted to encourage market competition through regulations.
2. It changed the relationship between the federal government and private businesses.

For example, the act made it illegal for companies to monopolize or attempt to monopolize and conspire in restraining commerce, giving the government the power to break up corporations that were acting in restraint of free trade.

Answer 2

The Sherman Antitrust Act of 1890 aimed to promote market competition and changed the relationship between the federal government and private businesses by giving the government the power to regulate and dissolve monopolies and trusts.

Step-by-step explanation:

The Sherman Antitrust Act of 1890 is a significant piece of legislation that aimed to curb the concentration of power in large corporations and trusts that affected market competition. Specifically, it targeted trusts that interfered with the free operation of the markets and interstate commerce. The two correct statements describing the Sherman Antitrust Act are:

• It attempted to encourage market competition through regulations.
• It changed the relationship between the federal government and private businesses.

This act was crucial as it gave the federal government unprecedented power to regulate and break up corporations that were deemed to be acting in restraint of free trade by forming monopolies. Despite the act's initial vague language in terms of what constituted a combination in restraint of trade, it was an early step towards federal regulation of the marketplace, which was expanded upon in later years with additional laws and the establishment of federal agencies like the Federal Trade Commission.