Dumping in international occurs when a foreign firm sells
ECONOMICS
WAEC 2017
Dumping in international occurs when a foreign firm sells
- A. above its cost of production at home and abroad
- B. below its cost of production at home and abroad
- C. more goods to a country than the country has need of
- D. below its cost of production in a foreign market
Correct Answer: D. below its cost of production in a foreign market
Explanation
Dumping is a term used in the context of international trade. It's when a country or company exports a product at a price that is lower in the foreign importing market than the price in the exporter's domestic market. it means exported goods are sold cheaper in the foreign market than the the exporter's domestic. that means the goods are sold below its cost of production
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