What is Dumping ?

Related Mcqs:

1. Suppose that Russia steel firms engage in dumping in the German market in terms of overall economic welfare, German welfare would _______ as the result of the dumping?

   A. increase
   B. decrease
   C. not change
   D. None of These

2. According to the cost-based definition of dumping, dumping occurs when a firm sells a product abroad at a price that is less than ?

   A. average total cost
   B. average variable cost
   C. average fixed cost
   D. marginal cost

3. The term “Dumping” means ?

   A. The sale of the sub-standard commodity
   B. Sale in a foreign market of a commodity at a price below marginal cost
   C. Sale in a foreign market of a commodity just at marginal cost without too much of profit
   D. Smuggling of goods without paying any customs duty

4. What is Dumping ?

   A. Sale of goods in large quantities with high quality
   B. Sale of goods in large quantities with low quality
   C. Sale of goods in large quantities and at a low price
   D. Sale of goods in large quantities with high price

5. Concerning dumping, which of the following is true ?

   A. predatory dumping represents the most common form of dumping by U.S firms
   B. U.S firms can obtain protection from foreign dumping, even though this protection tends to harm overall U.S welfare
   C. dumping can never be a profit-maximizing strategy for U.S firms to pursue
   D. U.S firms rarely if ever, engage in distress dumping or persistent dumping

6. To maintain that South koreans are dumping their DVDs in the United States is to maintain that ?

   A. Koreans are selling DVDs in the U.S below their production cost
   B. Koreans are selling DVDs is the U.s above their productions cost
   C. The cost of manufacturing DVDs in Korea is lower in Korea than in the U.S since wages are lower in Korea
   D. The cost of manufacturing DVDs in Korea is higher in Korea than in the U.S since wages are higher in Korea

7. The form of international price discriminations (dumping) normally associated with economic recession or excess inventories in the exporting nation is known as ?

   A. Predatory dumping
   B. sporadic dumping
   C. persistent dumping
   D. year end dumping

8. The reason for dumping is that the demand curve for ABC Co’s computers is _______ because ________ are available from other nations?

   A. more elastic in Japan, more substitutes are available from other nations
   B. more elastic in Japan, fewer substitutes are available from other; nations
   C. more inelastic in Japan; more substitutes are available from other; nations
   D. more inelastic in Japan; fewer substitutes are available from other nations

9. The form of dumping that represents the greatest potential net welfare loss the for importing national is ?

   A. predatory dumping
   B. sporadic dumping
   C. persistent dumping
   D. yearend dumping

10. Which company in the United States would likely be most concerned about Brazil’s dumping of steel in the U.S market ?

    A. General Motors, the manufacturer of automobiles
    B. Tennessee Mining Co. an iron-ore mining company
    C. Caterpillar Corp the producer of earth moving equipment
    D. Sneva Construction Co. The builder of skyscrapers