Dumping is the sale of a good abroad at a cheaper price than what the good is sold for in the producer's domestic market. generally hurts consumers of the nation receiving the "dumped" goods. is generally encouraged by domestic producers of the product being dumped since they are the primary beneficiaries of the dumping. is the sale of a good that is illegal in the producing country to another country.

Question

Mills

Business

23 December, 17:34

Dumping is the sale of a good abroad at a cheaper price than what the good is sold for in the producer's domestic market. generally hurts consumers of the nation receiving the "dumped" goods. is generally encouraged by domestic producers of the product being dumped since they are the primary beneficiaries of the dumping. is the sale of a good that is illegal in the producing country to another country.

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Jayce Newman · Answer 1

The sale of a good abroad at a cheaper price than what the good is sold for in the producer's domestic market.

Explanation:

Dumping is sale of good in foreign markets, at lower price than the domestic market price. It has an injuring effect on their domestic producers & sellers, as they lose their market share to foreign cheaper sellers. This creates monopoly of foreign sellers in imported markets, driving out domestic competitors. Implicatively, it also implies that foreign sellers dictate price & quality of products in imported markets.

Dumping is highly detrimental to imported countries producers & sellers. So, World Trade Organisation has strict rules against it.