Expanded Roles for Trade Associations

• DOI: 10.1177/0003603X7301800204
• Date: 01 June 1973
• Published date: 01 June 1973
• Author: James T. Halverson
• Subject Matter: Article

EXPANDED

ROLES

FOR

TRADE

ASSOCIATIONS

by

JAMES

T.

HALVERSON-

It

is a privilege to participate in this symposium on trade

association law and practice.

At the outset, I am obliged to give you two standard Gov-

ernment caveats: (1) As a staff member, I do not, in any

sense, speak for the Commission or any of the Commissioners.

(2) Nothing that I say is intended to refer to the merits of

any case which is presently pending before the Commission.

This morning, therefore, I will discuss my personal views

on the role of trade associations in the area of consumer pro-

tection and the antitrust problems flowing therefrom.

Adam Smith in his Wealth of Nations observed that, "Peo-

ple of the same trade seldom meet together, even for merri-

ment and diversion, but the conversation ends in a conspiracy

against the public, or in some contrivance to raise prices

....

"

Because of the long line of Justice Department and Federal

Trade Commission actions against anticompetitive trade as-

sociation practices, I would hope that Adam Smith's observa-

tion is no longer true.

Today nearly

all

associations pursue, or should pursue,

activities that are directed toward greater

efficiency

in in-

dustry operations, greater technical knowledge for member

firms and their employees, and lower cost to the public. Be-

yond this, it is my opinion that trade associations have a

significant and positive role to play in helping their members

to solve some of the serious problems confronting both indus-

try

and society today.

Areas in which I feel associations could play particularly

useful roles are in facilitating getting meaningful and use-

ful product information into the hands of consumers and in

•Acting General Counsel, Federal Trade Commission.

221