Question

Dumping occurs when a firm A. sells too much of a good in a foreign country....

Dumping occurs when a firm

A.

sells too much of a good in a foreign country.

B.

sells in a foreign country at prices that are below fair value.

C.

sells in its home market at prices that are below the average price charged by its competitors.

D.

sells exports in a foreign market at a lower price than its cost of production.

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Answer is B...... because when country sells product in foreign countries exporting country face competition so in case price below to domestic country.

Anty dumping law makes by WTO but sells on fair value market price.

Thank u plz rate positively ?

Add a comment
Know the answer?
Add Answer to:
Dumping occurs when a firm A. sells too much of a good in a foreign country....
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • Dumping refers to a country selling a good abroad at a price that is below its...

    Dumping refers to a country selling a good abroad at a price that is below its cost and lower than the price charged in the domestic market. imposing a retaliatory tariff against the subsidized products of a foreign country. all of the above selling a good abroad at a price that is above its cost and higher than the price charged in the domestic market. a and c

  • 6. Dumping is defined as selling a good abroad at prices below its cost of production...

    6. Dumping is defined as selling a good abroad at prices below its cost of production or below the price charged in the home market. selling a good abroad at prices above the costs of the firms in the foreign countries. exporting goods that are sources of pollution. exporting goods that are of inferior quality. Question 7 Free trade policies may lead to some labor sectors experiencing some short-term job loss. a decrease in world output. price increases in world...

  • Dumping a) always leads to negative profits of a firm b) is the situation when a...

    Dumping a) always leads to negative profits of a firm b) is the situation when a firm exports good at a higher than domestic price or at a price higher than its average costs c) always lead to the decrease in world welfare d) is considered unfair by the rules of the WTO

  • 7. Forms of Dumping Giocattolo is a profit-maximizing firm that produces toy cars. In Italy, its...

    7. Forms of Dumping Giocattolo is a profit-maximizing firm that produces toy cars. In Italy, its home country, it enjoys unchallenged market power due to trade barriers that restrict competition. However, Giocattolo also exports toy cars to Spain, where the market is highly competitive. Given this scenario, which of the following statements is correct? O Giocattolo sells toy cars at a lower price in Spain to dispose of its excess inventories. O The demand that Giocattolo faces for toy cars...

  • Ques Ques Ques Question 21 1.67 pts One claim that trade barrier proponents use to enforce...

    Ques Ques Ques Question 21 1.67 pts One claim that trade barrier proponents use to enforce environmental standards is that Time Running Attempt due: Dec 2 Hours, 8 Mir O environmental standards do not reduce industrial competitiveness and do not induce race to-the-bottom, where countries are forced to rescind their standards in order to maintain employment O high standards in industrialized nations motivates some firms to "export pollution to developing countries by relocating their dirty industries. enforcing environmental standards is...

  • Consider a profit-maximising firm that has the good fortune of being a monopolist. The firm sells...

    Consider a profit-maximising firm that has the good fortune of being a monopolist. The firm sells output in a domestic market and exports to a foreign market as well. The domestic market demand curve given as yp (p) = 20 - 2pp and the foreign market demand curve is given as yf(p) = 20 -PF. Total output is y = yp + yr. The monopolist faces a cost function given by c = + y2 + 20. a) Derive the...

  • Dumping Assume that a firm is a monopolist at Home facing the inverse-demand curve, P =...

    Dumping Assume that a firm is a monopolist at Home facing the inverse-demand curve, P = 10 − Q, but is one of many competitors in the world market, where it can sell its output at a price Pw = 2. Furthermore, assume that the firm’s total cost is given by: T C (Q) = 10 + Q2 . Answer the following questions: (a) Find the optimal level of output that maximizes the firm’s total profits. Is it optimal for...

  • 2. Suppose the Home firm is considering whether to enter the Foreign market. Assume that the...

    2. Suppose the Home firm is considering whether to enter the Foreign market. Assume that the Home firm has the following costs and demand: Fixed costs = $240 Marginal costs = $10 per unit Local price = $35 Local quantity = 20 Export price = $15 Export quantity = 10 a. Calculate the firm's total costs from selling only in the local market (Home). b. Calculate the firm's profit from selling only in the local market (Home). c. Now suppose...

  • Dumping. Assume that a firm is a monopolist at Home facing the inverse-demand curve, P =...

    Dumping. Assume that a firm is a monopolist at Home facing the inverse-demand curve, P = 10 − Q, but is one of many competitors in the world market, where it can sell its output at a price Pw = 2. Furthermore, assume that the firm’s total cost is given by: T C (Q) = 10 + (Q^2)/2. Answer the following questions: (a) Find the optimal level of output that maximizes the firm’s total profits. Is it optimal for the...

  • Suppose the Home firm is considering whether to enter the Foreign market. Assume that the Home...

    Suppose the Home firm is considering whether to enter the Foreign market. Assume that the Home firm has the following costs and demand: Fixed costs = $100 Marginal costs = $15 per unit Local price = $30 Local quantity = 40 Export price = $25 Export quantity = 20 Calculate the firm’s total costs from selling only in the local market What is the firm’s average cost from selling only in the local market? Calculate the firm’s profit from selling...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT