_____ occurs when foreign producers lower prices for the purpose of driving domestic firms out of business.

Name: _____ occurs when foreign producers lower prices for the purpose of driving domestic firms out of business.
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Question

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Predatory dumping involves foreign producers lowering their prices below market value in a targeted market with the intent of driving out domestic competition. Once the domestic firms are weakened or eliminated, the foreign producers may then increase prices to recoup losses.

_____ Occurs When Foreign Producers Lower Prices for the Purpose