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The NCAA (National Collegiate Athletic Association) limits the number of basketball coaches an institution may have to four (one head, two assistants, and one entry-level). Moreover, the NCAA limits the salary of the entry-level coach to $32,000. A group of entry-level coaches challenge the compensation limits as a violation of Section 1 of the Sherman Act. The NCAA states that some horizontal restraints are necessary in order to promote competition among their membership. Do you believe this restriction is legal? Why or why not?

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