What act established the Interstate Commerce Commission (ICC) in 1887?

The Interstate Commerce Act, passed in 1887, is significant as it established the Interstate Commerce Commission (ICC), which was the first federal agency created to regulate economic activity in the United States, specifically addressing the railroad industry. This legislation aimed to address the rampant rates and discriminatory practices that many railroads had implemented against smaller businesses and farmers.

The act's establishment was a crucial response to public outcry regarding monopolistic practices by railroad companies, which often led to increased costs for consumers and unfair competition among businesses. By creating the ICC, the act empowered the federal government to oversee and ensure fair rates and practices in interstate commerce, fundamentally transforming the relationship between the government and private enterprise in the transportation sector.

The other options, while they may sound plausible, do not accurately reflect the title or purpose of the legislation that formed the ICC. The Interstate Commerce Act is the historically correct piece of legislation that mandated federal oversight of railroad operations, establishing a precedent for further government regulation in other industries in the years to come.