Stock crashes may follow antitrust actions

The Journal Record | October 28, 1997| | Copyright

To find the culprit behind falling U.S. stock prices, don't look west to Hong Kong but east to Washington, some economists say.

It may be no coincidence that the two biggest business stories last week were the sharp tumble in equity markets -- especially technology issues -- and the Justice Department's suit against Microsoft for allegedly violating a consent decree it signed with the government in 1995.

According to George Bittlingmayer, a business school professor at the University of California at Davis, many of America's biggest stock market plunges have been preceded by just such ...

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