During the early 20th century, corporations used holding companies to do which of the following?

reduce the power of unions

exert a greater amount of political influence

pursue a policy of vertical integration

shelter earning from income taxes

The answer is reduce the power of unions

The correct answer is A) reduce the power of unions.

During the early 20th century, corporations used holding companies to reduce the power of unions.

With the National Labor Relations Act of 1935, the government supposedly would support workers on their right to form unions. This way, workers could demand better working conditions, fewer hours of work, and better wages. On the other hand, businessmen and companies do not like unions. They like hiring, firing, and cutting wages at will. So during the 2oth century, they used holding companies to reduce the power of unions.