Dumping in international trade means selling a goods at a

ECONOMICSJAMB 2009

Dumping in international trade means selling a goods at a

  • A. higher price at home than abroad
  • B. lower price at home than abroad
  • C. price that equates marginal cost with marginal revenue
  • D. price above marginal cost abroad

Correct Answer: A. higher price at home than abroad

Explanation

Dumping is an international price discrimination in which an exporter firm sells a portion of its output in a foreign market at a very low price and the remaining output at a high price in the home market

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