What is the primary problem caused by adverse selection?

Which of the following is not correct regarding dumping?

a. In the country where products are dumped, consumer surplus grows as a result of the dumping. b. Dumping involves the selling of a product by foreign producers at a price lower than that in their own countries. c. Critics of dumping recommend applying a tariff as the correct antidumping measure. d. A major difficulty with dumping by firms in other countries is that it drives up prices to the domestic consumer. e. Predatory dumping is often aimed at driving domestic producers out of business.

The idea that what’s good for one person may not be good for all people is known as the

a. cause-effect fallacy. b. fallacy of composition. c. moral hazard problem. d. disequilibrium position.