If there is only one seller in the market it may charge higher prices without fearing competition. The antitrust laws are aimed at protecting consumers' purchasing power and saving jobs and businesses, all at the same time. Businesses may believe that by restricting competition among themselves, they will earn higher short-term profits. Vigorous competitors from another state, region or country eventually pierce the market and take business away from the local seller, who has become inefficient and weak due to lack of competition. One long-term effect of restricted competition is business failure and a loss of local jobs.
Competition has other benefits as well.
It serves as a check on economic power and creates opportunities for individuals to enter the marketplace and run their own businesses. It creates jobs and provides people with a choice of employer and work place. It reduces the need for governmental interference through the over-regulation of business. A free market for goods and services is an essential element of the personal freedom enjoyed in this country. There are both federal and state antitrust laws.