Which of the following would be least likely to lead the Justice Department and the FTC to block a proposed horizontal merger?
A) A finding that the resulting firm might be able to unilaterally affect price and output.
B) A finding that the potential for entry into the market by new firms would be adversely affected.
C) A finding that the potential for coordination among sellers in the market would be enhanced.
D) A finding that resulting cost savings and efficiencies would offset any increase in market power.
ANSWER
D
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