Describe how things would change if the two countries

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In the chapter, we described a situation where dumping occurs between two symmetric countries. Brie?y describe how things would change if the two countries had different sizes.

a. How would the number of ?rms competing in a particular market affect the likeli- hood that an exporter to that market would be accused of dumping? (Assume that the likelihood of a dumping accusation is related to the ?rm's price difference between its domestic price and its export price: the higher the price difference, the more likely the dumping accusation.)

b. Would a ?rm from a small country be more or less likely to be accused of dumping when it exports to a large country (relative to a ?rm from the large country export- ing to the small country)?

Reference no: EM131081563

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