The United States has a multitude of fair trading laws that aim to make things fair and competitive. I think these laws are absolutely effective in helping to balance our country. Fair business practices protect businesses as well as consumers in many ways, including: protection against monopolization, conspiracy to fix prices or allocate customers, price gouging, and many other important protections (SBA, 2013). In 1890, Congress passed the Sherman Act with their first attempt at business and consumer protection (FTC, 2008). This act was to touch on monopolization and unreasonable trade. In order to protect consumers and businesses, it was decided that monopolization; or the practice of controlling a single market, was an unjust act. Not only do monopolies have the ability to play with prices, but they can also lower the quality of their products (Amadeo, 2013). For the consumer, it could be regrettable if, for example, the only supply of infant formula is controlled by a single company and the price increases by 40% after the elimination of competition. In some cases however, monopolies can be beneficial and they are not actually illegal in the United States. A monopoly can be beneficial if it uses its power to consistently provide a product or service. In cases like electricity and water, where the cost of providing them is extremely high, they are controlled by the government which protects the consumer from high prices. The government controls the prices they set and allows them to recover and obtain a reasonable profit for their services and products (Amadeo, 2013). In this way, it shows that monopolies are not illegal, but are tightly controlled under the Sherman Anti-Trust Act. In 1914, however...... middle of paper...... Retrieved from http://www .ftc.gov/speeches/other/patman.shtmDate Referenced on the web: November 15, 2013Cornell University. (2013). Unfair competition law: an overview. Retrieved from http://www.law.cornell.edu/wex/unfair_competitionDate Web referenced: November 15, 2013 Federal Trade Commission. (July 8, 2008). Antitrust laws. Retrieved from http://www.ftc.gov/bc/antitrust/antitrust_laws.shtmDate Web referenced: November 15, 2013 Investopedia. (2013). Hart-scott-rodino Antitrust Improvements Act of 1976. Retrieved from http://www.investopedia.com/terms/h/hart-scott-rodino-antitrust-improvements-act-of-1976.aspDate Referenced on the web: November 15, 2013 United States Small Business Administration. (2013). Understand fair practices. Retrieved from http://www.sba.gov/content/understanding-fair-practiceDate Web referenced: November 15, 2013