10. Evaluating The federal government created the Tennessee Valley Authority at a time when many people living in rural areas did not have
electricity because private companies could not make a profit by stringing
lines to serve so few people. Times have changed: now private companies
can profit from serving rural customers. Should the government get out of
the business of competing with private power companies? Explain your
answer.

Cooperation among oligopolies runs counter to the public interest because it leads to underproduction and high prices. in an effort to bring resource allocation closer to the social optimum, public officials attempt to force oligopolies to compete instead of cooperating. consider the following scenario: suppose that the presidents of two auto manufacturing companies exchange text messages in which they discuss jointly raising prices on their new lines of hybrid suvs. this illegal communication would violate which of the following laws? the sherman antitrust act of 1890 the robinson–patman act of 1936 the celler–kefauver act of 1950 the clayton act of 1914