Section 7 of the Clayton Act and the Pursuit of Economic Objectivity: Is There Any Role for Social and Political Values in Merger Policy

81-899, 64 Stat.1125.As originally enacted, § 7 of the Clayton Act prohibited acquisitions where the effect of the transaction might be "to substantially lessen competition between the corporation whose stock is so acquired and the corporation making the acquisition."Pub.L. No. 63-212, 38 Stat.730, 731-32 (1914).Because of this language, some felt that § 7 only involved competition between the acquiring and acquired firms and was thus limited to horizontal mergers.See H.R. REP.No. 1191, 81st Cong., 1st Sess.11 (1949).The Celler-Kefauver Amendment deleted this language to make clear that the section deals with vertical and conglomerate mergers as well as horizontal.Id.The amendment also broadened the scope of § 7 to include acquisitions by way of acquiring another corporation's assets as well as by acquiring its stock.For the text of § 7 of the Clayton Act, see note 17 infra.2 15 U.S.C. § 18 (1982).Broadly stated, § 7 of the Clayton Act prohibits acquisitions (coming within its auspices) that may substantially lessen competition or tend to create a monopoly in any line of commerce, or in any activity affecting commerce, in any section of the country.For the text of § 7, see note 17 infra.3 Brown Shoe Co. v. United States, 370 U.S. 294, 315 (1962).For a discussion of the congressional debate surrounding the antitrust laws, see Lande, Wealth Tranfers as the Original and Primary Concern of Antitrust: The Efficiency Interpretation Challenged, 34 HAST.LJ. 65 (1982).4 95 CONG.REC.11,501 (1949) (comments of Rep. Douglas).5 Id. at 11,486 (comments of Rep. Celler).