Economics · 12th Grade

Active learning ideas

Antitrust Policy: History and Application

Active learning works for antitrust policy because the subject requires students to apply abstract legal and economic concepts to real-world scenarios. By engaging with cases, simulations, and debates, students practice defining markets, calculating competition metrics, and weighing policy trade-offs, which builds deeper understanding than passive reading alone.

• Common Core State Standards
• C3: D2.Eco.3.9-12
• C3: D2.Civ.13.9-12

• 30–50 min
• Pairs → Whole Class
• 4 activities

Activity 01

• Mock Trial
• 50 min · Small Groups

Mock Merger Review

Groups receive financial and market share data for a hypothetical merger in a specific industry, calculate the pre- and post-merger HHI, and present a recommendation to the class acting as the DOJ: approve, block, or approve with conditions. Groups must justify their market definition and HHI thresholds.

Explain the historical context and purpose of antitrust laws.

Facilitation Tip

During the Mock Merger Review, give students a simplified HHI calculation template so they focus on market analysis rather than arithmetic errors.

What to look for

Pose the question: 'Should large tech companies like Apple or Microsoft be broken up?'. Instruct students to use the concepts of market definition, HHI, and network effects to support their arguments, citing specific examples of their market power and competitive practices.

• Analyze
• Evaluate
• Create
• Decision-Making
• Social Awareness

Activity 02

• Case Study Analysis
• 35 min · Pairs

Case Study Analysis: Standard Oil and Modern Tech Antitrust

Pairs compare the 1911 Standard Oil breakup with ongoing FTC and DOJ cases against major technology platforms, identifying parallels in legal theory and differences in how modern digital markets function. They write a brief memo explaining which elements of the Standard Oil analysis do and do not transfer to the tech context.

Analyze how the government defines a market when reviewing mergers.

What to look for

Provide students with a simplified scenario of two companies merging in the smartphone operating system market. Ask them to: 1. Define a plausible product market and geographic market. 2. Calculate the HHI before and after the merger, assuming given market shares. 3. State whether the merger would likely raise antitrust concerns based on their HHI calculation.

• Analyze
• Evaluate
• Create
• Decision-Making
• Self-Management

Activity 03

• Formal Debate
• 45 min · Small Groups

Formal Debate: Should the Government Break Up Large Tech Companies?

Teams prepare economic and legal arguments for and against structural remedies in technology markets, engaging with the consumer welfare standard that has governed antitrust since the 1970s. After the debate, the class identifies the key empirical disputes, does platform dominance harm consumers?, that would need to be resolved to reach a conclusion.

Critique the arguments for and against breaking up large tech companies under antitrust.

What to look for

Ask students to write down one historical antitrust case (e.g., Standard Oil, AT&T) and explain how it relates to the core purpose of antitrust laws. Then, have them identify one challenge in applying these laws to today's digital economy.

• Analyze
• Evaluate
• Create
• Self-Management
• Decision-Making

Activity 04

• Gallery Walk
• 30 min · Small Groups

Gallery Walk: Landmark Antitrust Cases

Stations cover Standard Oil (1911), AT&T (1984), Microsoft (2001), and a recent platform case. Groups rotate and annotate each station with: the market failure alleged, the remedy applied, and one unresolved question about whether the outcome served consumers well.

Explain the historical context and purpose of antitrust laws.

What to look for

Pose the question: 'Should large tech companies like Apple or Microsoft be broken up?'. Instruct students to use the concepts of market definition, HHI, and network effects to support their arguments, citing specific examples of their market power and competitive practices.

• Understand
• Apply
• Analyze
• Create
• Relationship Skills
• Social Awareness

A few notes on teaching this unit

Teachers should emphasize that antitrust law is not about punishing success but about preserving competitive processes. Avoid framing the topic as ‘big vs. small’ firms, as this oversimplifies the legal standards. Instead, use side-by-side case comparisons to show how courts weigh market power, intent, and consumer harm. Research suggests students grasp these nuances best when they grapple with conflicting interpretations of the same case.

Successful learning looks like students confidently distinguishing lawful competitive behavior from anticompetitive conduct, justifying their reasoning with economic evidence and historical precedents. They should also articulate how antitrust remedies are tailored to specific market harms, not just firm size.

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Watch Out for These Misconceptions

• During the Mock Merger Review, watch for students assuming that any merger between large firms is automatically anticompetitive.

  During the Mock Merger Review, redirect students to the HHI thresholds and market definition steps, emphasizing that only mergers that substantially lessen competition violate the Clayton Act. Have them calculate pre- and post-merger HHI to anchor their analysis in data.

• During the Case Study: Standard Oil and Modern Tech Antitrust, watch for students conflating market dominance with illegal monopolization.

  During the Case Study: Standard Oil and Modern Tech Antitrust, ask students to compare Standard Oil’s exclusionary practices (e.g., rebates, predatory pricing) with modern tech firms’ competitive strategies. Use the case’s ‘rule of reason’ analysis to highlight that conduct, not size, determines liability.

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Methods used in this brief

• Mock Trial
• Case Study Analysis
• Formal Debate
• Gallery Walk