Answered

Interlocking directorates are
O legal if the two firms have small market shares.
O illegal under provisions of the Federal Trade Commission Act of 1914.
O illegal under provisions of the Celler-Kefauver Act of 1950.
O illegal under provisions of the Clayton Act of 1914.



Answer :

GinnyAnswer

Final answer:

Interlocking directorates are prohibited under the Clayton Act of 1914 to prevent decreased competition.


Explanation:

Interlocking directorates refer to situations where individuals serve as directors on the boards of competing firms. These are illegal under provisions of the Clayton Act of 1914, which aimed to prevent actions that substantially decrease competition, including this practice.


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