________ are possible in response to subsidies by domestic governments to protect fledgling industries.

Question

Quizplus · Accepted Answer

Countervailing duties are designed to counteract the effects of subsidies provided by foreign governments to their own domestic industries, which harm the competitiveness of firms in importing countries. However, countervailing duties can also be imposed in response to subsidies provided by domestic governments to protect fledgling industries. This helps to level the playing field for domestic producers who are not receiving similar subsidies. Antidumping duties, on the other hand, are imposed in response to unfair pricing practices by foreign firms, and predatory pricing policies are when prices are set artificially low to drive competitors out of the market. The Calvo Doctrine is a principle of international law that holds that foreign nationals are not entitled to more rights than those available to nationals of the host country. None of these concepts are directly related to subsidies provided by domestic governments.

________ Are Possible in Response to Subsidies by Domestic Governments