Which of the following occurs when the price of a good is lower in export markets than it is in the domestic market?
A) skimming
B) dumping
C) transfer pricing
D) price escalation

Question

Quizplus · Accepted Answer

Dumping is the practice of selling a product in a foreign market at a price lower than its domestic price. This is usually done to gain market share in the export market or to get rid of excess inventory. It can harm domestic producers in the export market by undercutting their prices and making it difficult for them to compete.

Which of the Following Occurs When the Price of a Good