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Key Terms
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competition policy  The laws and government actions designed to prevent monopoly and promote competition.
(See page(s) p. 255)
Competition Tribunal  A government body that adjudicates under a civil law framework that permits the issuing of remedial orders to restore and maintain competition in the market.
(See page(s) p. 256)
conglomerate merger  The merger of a firm in one industry with a firm in another industry or region.
(See page(s) p. 256)
horizontal merger  A merger between two competitors selling similar products in the same market.
(See page(s) p. 256)
legal cartel theory of regulation  The hypothesis that some industries seek regulation or want to maintain regulation so that they may form a legal cartel.
(See page(s) p. 260)
public interest theory of regulation  The theory that industrial regulation is necessary to keep a natural monopoly from charging monopoly prices and thus harming consumers and society.
(See page(s) p. 259)
social regulation  Government regulation of the conditions under which goods are produced, the physical characteristics of goods, and the impact of the production on society.
(See page(s) p. 261)
tying contract  A requirement imposed by a seller that a buyer purchase another (or other) of its products as a condition for buying a desired product.
(See page(s) p. 257)
vertical merger  The merger of firms engaged in different stages of the production process of a final product.
(See page(s) p. 256)







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