Dumping occurs when,in a foreign market,a good is sold
A)below its cost of production.
B)at a discount below the list price.
C)below its nominal price.
D)at a price above the equilibrium price.

Question

Quizplus · Accepted Answer

Dumping occurs when a good is sold in a foreign market below its cost of production. This practice can harm domestic producers in the foreign market, as they may not be able to compete with the artificially low prices. It is often seen as a form of unfair trade practice, and many countries impose anti-dumping measures to counteract its effects.

Dumping Occurs When,in a Foreign Market,a Good Is Sold