9. Prior to 1982, AT&T had a monopoly on local telephone service throughout most of the United...
Question:
9. Prior to 1982, AT&T had a monopoly on local telephone service throughout most of the United States. It also provided long-distance telephone service and did not give other companies access to its local telephone lines. As a result of the development of satellites, fiber-optic cable, and other technological advances, it became possible for other companies to provide long-distance service, but their lack of access to local lines seriously inhibited the development of this service. The Justice Department sued AT&T under the antitrust laws, and a 1982 settlement required AT&T to sell its local operating companies. In the years after 1982, the local operating companies gradually merged, and by 2006 almost all the local operating companies had merged together and rejoined with AT&T long distance. The U.S. Justice Department did not challenge the re-creation of the 1982 AT&T structure.
What changes occurred between 1982 and 2006 that led to this lack of action by the Department of Justice?
Step by Step Answer:
Principles Of Microeconomics
ISBN: 9784492370292
6th Edition
Authors: John B. Taylor, Akila Weerapana