Suppose that the United States imposes an antidumping duty on imported steel. Which of the following is likely to occur?

Question

Quizplus · Accepted Answer

Antidumping duties are tariffs imposed on foreign imports believed to be priced below fair market value. When the U.S. imposes such a duty on imported steel, it makes imported steel more expensive. This leads to an increase in the domestic price of steel, as cheaper foreign alternatives become less available. Consequently, the higher prices may reduce the overall consumption of steel in the U.S. market, as consumers and businesses adjust to the higher costs.

Suppose That the United States Imposes an Antidumping Duty on Imported