Business

The threat of antidumping action enhances the ability of a firm to use

QUESTION The threat of antidumping action enhances the ability of a firm to use aggressive pricing to gain market share in a country. Indicate whether the statement is true or false.   ANSWER FALSE The threat of antidumping action limits the ability of a firm to use aggressive pricing to gain market share in a […]

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Date: September 3rd, 2020

Animax Limited got an order to sell 50,000 central processing units (C

QUESTION Animax Limited got an order to sell 50,000 central processing units (CPUs) to Palladia, but the Palladian government stipulated that 15 percent of the component parts of those CPUs must be produced in Palladia. This stipulation by the Palladian government would be example of a(n): A. voluntary export restraint. B. quota rent. C. import […]

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Date: September 3rd, 2020

Which of the following statements is true about voluntary export restr

QUESTION Which of the following statements is true about voluntary export restraints (VERs)? A. VERs benefit consumers by limiting import competition. B. VERs reduce the domestic price of an imported good. C. When imports are limited to a low percentage of the market by a VER, the price is bid up for that limited foreign […]

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Date: September 3rd, 2020

Which of the following specifies that U.S. government agencies must gi

QUESTION Which of the following specifies that U.S. government agencies must give preference to U.S. products when putting contracts for equipment out to bid unless the foreign products have a significant price advantage? A. Export Administration Act B. Helms-Burton Act C. Hawley-Burton Act D. Buy America Act E. Volcker Rule   ANSWER D

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Date: September 3rd, 2020

In the Uruguay Round of the WTO, member countries sought to exempt tra

QUESTION In the Uruguay Round of the WTO, member countries sought to exempt trade in services from GATT rules. Indicate whether the statement is true or false.   ANSWER FALSE Against the background of rising pressures for protectionism, in 1986 GATT members embarked on their eighth round of negotiations to reduce tariffs, the Uruguay Round. […]

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Date: September 3rd, 2020