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Matching Quiz
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Match the terms on the left with the definition in the column on the right


Match:
1


dumping

2


predatory dumping

3


cyclical dumping

4


seasonal dumping

5


persistent dumping

6


export subsidy

7


countervailing duty

8


normal value

9


price discrimination

10


antidumping duty

11


safeguard policy

12


consumption effect

13


production effect

14


strategic trade policy

A)government policy helps its own firm’s strategy to win a rivalry game.
B)the use of temporary import protection when a sudden increase in imports causes injury to domestic produces.
C)an extra tariff equal to the discrepancy between the actual export price and the normal value.
D)firms with market power use price discrimination between markets to increase their total profits.
E)selling exports at a price that is too low--less than "normal" value.
F)intended to sell off excess inventories of a product without lowering the price in the domestic (home) market.
G)the price charged to comparable domestic buyers in the home market of the average cost of producing the product, including overhead costs and profit.
H)a government policy to promote export of goods.
I)charging two different prices in two different markets.
J)the lost consumer surplus for those consumers squeezed out of the market when the domestic price rises above the world price.
K)the loss due to encouraging domestic production that has a resource cost greater than the world price.
L)a retaliatory tariff against the subsidized exports of another country.
M)when the firm temporarily charges a low price in the export market, with the purpose of driving its competitors out of business.
N)dumping that occurs during periods of recession.







Pugel:International EconomicsOnline Learning Center

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