Dumping - reason for protection, Managerial Economics

Dumping

If goods are sold on a foreign market below their cost of production this is referred to as dumping.  This may be undertaken either by a foreign monopolist, using high profits at home to subsidize exports for political or strategic reasons.  Countries in which such products are "dumped" feel justified in protecting themselves.  This is because dumping could result in the elimination of the home industry, and the country then becomes dependent on foreign goods which are not as cheap as they had appeared.

Posted Date: 11/30/2012 4:58:25 AM | Location : United States







Related Discussions:- Dumping - reason for protection, Assignment Help, Ask Question on Dumping - reason for protection, Get Answer, Expert's Help, Dumping - reason for protection Discussions

Write discussion on Dumping - reason for protection
Your posts are moderated
Related Questions
Demand management policies These policies are intended to increase aggregate demand and, therefore the equilibrium level of national income.  They are sometimes called fiscal a

How relevent is managerial dicretion in developing countries?

Keynes and  Mitchell Description According to Keynes description, a trade cycle is characterised by alternating expansionary and contractionary wavy movements in the aggregate

Internal and External factors of business operation External factors : A firm can't exercise any control over these factors. Thepolicies, plans and programmes of the firm m

The comparability principle Associations representing workers providing services - clerical, postal, teaching, etc. - have always attempted to  apply the "principle of comparab

PUBLIC SECTOR BORROWING REQUIREMENT (PSBR) Public Sector Borrowing Requirement (PSBR) is the amount which the government needs to borrow in any one year to finance an excess e

Legal Sanction: A monopoly as stated above may be the result of a government sanction. The government of a country may legally permit a private monopoly or monopoly in the public s

Analysis of unemployment in relation to economics

Explain the demand for a commodity The functional relationship between demand for a commodity and its various determinants may be expressed mathematically in terms of a demand