Question:medium

Which of the following Acts is framed to prevent monopolistic practices and regulate the conduct or business practices of firms that are not in public interest:

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Be aware of major economic legislations in India and their evolution. Knowing that the MRTP Act, 1969 was replaced by the Competition Act, 2002 is a crucial piece of information for modern context.
Updated On: Feb 18, 2026
  • Multilateral Trade Agreement Act
  • Monopolies Restructive Trade Practices Act
  • Monopolies Reformative Trade Practices Act
  • Monopoly Reconstructive Trading Practice Act
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The Correct Option is B

Solution and Explanation

Step 1: Understanding the Question:
The question seeks the Indian legislation designed to control monopolies and address unfair business practices.

Step 2: Act Details:
The correct answer is the Monopolies and Restrictive Trade Practices (MRTP) Act, 1969. This was India's initial major law to regulate free trade and prevent concentrated economic power detrimental to public interest. It aimed to curb monopolies and forbid monopolistic, restrictive, and unfair trade practices.

Step 3: Option Analysis:
The provided options contain slight inaccuracies:

(A) Multilateral Trade Agreement Act: This is a general term, not a specific Indian act for monopoly control.
(B) Monopolies Restructive Trade Practices Act: This option is closest, with a likely typo ("Restructive" instead of "Restrictive").
(C) Monopolies Reformative Trade Practices Act: "Reformative" is incorrect; the Act focused on restricting practices.
(D) Monopoly Reconstructive Trading Practice Act: "Reconstructive" and "Trading" are incorrect in this context.
Option (B) is the intended and most accurate, despite the minor typo.

Step 4: Answer:
The best answer is the Monopolies Restructive Trade Practices Act, which refers to the Monopolies and Restrictive Trade Practices (MRTP) Act, 1969. Note that the MRTP Act was superseded by the Competition Act, 2002.
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