What can the government do to keep monopolies from being formed?

To prevent monopolies, the government can enforce antitrust laws that promote competition by prohibiting anti-competitive practices such as price-fixing, mergers that significantly reduce competition, and predatory pricing. Regulatory bodies, like the Federal Trade Commission (FTC) in the U.S., can conduct investigations and impose penalties on companies that engage in monopolistic behavior. Additionally, the government can support small businesses and startups through grants and incentives, fostering a diverse marketplace that mitigates the risk of monopolies forming.