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How do antitrust laws affect the circular flow of the free-market system?

  • Question 10a of 10 - Consumer protection regulations

  • Maximum Attempts: 1
  • Question Type: Multiple Choice
  • Maximum Score: 2
  • Question: How do antitrust laws affect the circular flow of the free-market system?
  • Answers:
  1. They increase the collection of taxes.
  2. They slow the flow of investment.
  3. They speed up the flow of capital and wages.
  4. They decrease consumption.

The correct answer is: They speed up the flow of capital and wages. Antitrust laws increase the number of producers, providing a wider channel for expenditures to flow.

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