Asked by Angela Trevino on Jun 15, 2024
Verified
As it relates to international trade, dumping
A) is a form of price discrimination illegal under U.S. antitrust laws.
B) is the practice of selling goods in a foreign market at less than cost.
C) constitutes a general case for permanent tariffs.
D) is defined as selling more goods than allowed by an import quota.
Dumping
The practice of exporting goods at a price lower than the home-market price, often with the intent of undermining competition in the importing country.
Price Discrimination
The selling of a product to different buyers at different prices when the price differences are not justified by differences in cost.
- Assess the practice of dumping in global commerce and the associated policy reactions.
Verified Answer
JG
Jeimmy GarridoJun 16, 2024
Final Answer :
B
Explanation :
Dumping involves selling goods in a foreign market at a price below their cost of production or below the price in the domestic market. This practice can harm domestic industries in the importing country.
Learning Objectives
- Assess the practice of dumping in global commerce and the associated policy reactions.