What are the two different forms of dumping? What factors should be considered when determining whether or not dumping has occurred?
What will be an ideal response?
There are two forms of dumping. When a firm sells its goods in a foreign market at a price below what it charges in its home country, the firm is engaging in a form of dumping known as international price discrimination. The comparison should be made between the prices charged foreign customers and domestic customers at the factory gate; these prices are often difficult to obtain. When a firm sells its goods below cost in the foreign market, the firm is using predatory pricing. Defining costs in this form of dumping is difficult because R&D expenses, marginal costs, and corporate overhead may or may not be relevant.
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When a real estate licensee employs a non-licensee, the licensee must be careful to make sure that:
A. activities requiring a real estate license are performed only by the licensee B. the employee's activities are limited to those permitted by the Real Estate Guide to Non-licensee Activities C. the non-licensee only discusses available properties but does not negotiate with parties D. the non-licensee accepts only advance fees, rather than commissions
Standard setters develop accounting standards based on natural economic laws
What will be an ideal response?