Which of the Following Is True of Predatory Dumping

question 76

Multiple Choice

Which of the following is true of predatory dumping?

• A)It may be a way to encourage the development of domestic production of a good.
• B)It may drive out established firms.
• C)There are a great number of documented cases of predatory dumping.
• D)Once the competition is gone,the exporting firm lowers the price in the foreign market.
• E)Even after the dumpers have established their monopoly position in the foreign market,they prevent the entry of other firms into the market.

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Definitions:

Obligation

A legal or moral duty to do or not do something, often arising from contracts, law, or personal commitments.

Instrument Void

A legal term indicating that a document, typically a contractual agreement, is null and has no legal effect.

Holder In Due Course

A person who has acquired a negotiable instrument in good faith and for value, and thus has certain rights above the original issuer or transferrers.

Altered

Changed or modified, often referring to a document that has been tampered with or adjusted in some way.