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WAEC Economics 2017 Objective — Question 43

Question 43 of 50 from the West African Examinations Council (WAEC) Economics 2017 Objective paper, with the correct answer and a full explanation.

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Dumping in international trade occurs when a foreign firm sells

  • A. A. above its cost of production at home and abroad
  • B. B. below its cost of production at home and production
  • C. C. more goods to a country than the country has need of
  • D. D. below its cost of production in a foreign marketCorrect

Explanation

Dumping is an act of selling a foreign market below the cost of production due to supply of substandard goods.

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