Predatory pricing, although representative of a form of unfair competition, promotes free trade.

Question

Quizplus · Accepted Answer

Predatory pricing involves selling goods or services at a loss with the intention of driving competitors out of business, leading to a monopoly or dominant market position. This practice undermines competition, which is a cornerstone of free trade. Thus, predatory pricing actually hinders free trade, making option B the correct answer.

Predatory Pricing, Although Representative of a Form of Unfair Competition