Under United States laws,dumping occurs when
A)when a business deliberately prices below its costs in an effort to drive out competitors.
B)when a business unintentionally prices below its costs which results in driving out competitors.
C)when a foreign company sells a product in the United States at a price below the market value in the country of its creation,and this action materially injuries (or threatens to materially injure)an industry in the United States.
D)when a U.S.company sells a product in a foreign country at a price below the market value in the U.S. ,and this action materially injuries (or threatens to materially injure)an industry in the foreign country.

Question

Quizplus · Accepted Answer

Dumping occurs when a foreign company sells a product in the United States at a price below the market value in the country of its creation, and this action materially injuries (or threatens to materially injure) an industry in the United States. This is considered an unfair trade practice, and can lead to trade remedy actions by the affected industry or by the government. Options A and B refer to predatory pricing, which is another type of unfair competition, but it is not the same as dumping. Option D refers to export subsidies, which can also distort trade, but again, it is not the same as dumping.

Under United States Laws,dumping Occurs When