Why might the lack of competition resulting from business mergers tend to lead to market failures?

If businesses merged too much, they would get into a position where they could control the entire market. They could then dictate the prices completely for the purpose of profit and this might be bad for the people. People wouldn't have the money to procure goods and the market and the economy would completely become ruined.

I think this is correct. Sorry if it isn’t

A. The Catholic Church controlled all of Europe.

Explanation: Christian unity that once flourished came to an end. The Catholic Church eliminated the sale of indulgences and other abuses that Luther had attacked