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The government typically responds to unfair competition through regulatory measures and enforcement of antitrust laws. Agencies like the Federal Trade Commission (FTC) and the Department of Justice (DOJ) investigate and prosecute companies that engage in anti-competitive practices, such as price-fixing or monopolistic behavior. Additionally, governments may implement regulations to ensure fair trade practices and protect consumers, fostering a competitive marketplace. These actions aim to maintain a level playing field for businesses and promote consumer welfare.

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