Economic Perspectives on Dumping Law

Abstract

This paper discusses the theoretical aspects of dumping. First it focuses solely on the classic model of dumping as international price discrimination. It first asks whether price discrimination per se is objectionable and then asks whether international price discrimination should be regarded as better or worse than that which occurs entirely within a domestic economy. It then turns to the more recent discussion of dumping below cost which raises several issues regarding the appropriate definition of cost to be used in defining dumping.