Pugel 17e · International Trade
Chapter 11 · Pushing Exports
Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries. The chapter has two major purposes: Examine dumping—what it is, why it occurs, how it affects importing countries, and what government policies are used in importing countries.
教材导入与手册摘录
Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries. The chapter has two major purposes: Examine dumping—what it is, why it occurs, how it affects importing countries, and what government policies are used in importing countries. Examine export subsidies, looking at these same issues and a few others.
Dumping is selling exports at a price that is “too low.” There are two standards sanctioned by WTO rules: selling exports at a price that is lower than the price in the home market (or in a third country market), or selling exports at a price that is lower than the full average cost of production (including a profit margin). The legal standard is one or the other, not both.
There are at least four different reasons that an exporter would dump (based on one or the other of the two definitions). Predatory dumping is intended to drive out rivals. Cyclical dumping occurs during an industry downturn in demand, with sales at prices that cover average variable cost but are below average total cost. Seasonal dumping unloads excess inventories, especially on products that are perishable or going out of fashion. Persistent dumping is international price discrimination, with the exporting firm facing less elastic demand in the home market, and having some way to limit or prevent reimport back into its home market.
What should the importing country think of dumping? The first reaction should be to welcome it—why argue if someone is willing to sell you something at a low price? This seems to be the best reaction to both seasonal and persistent dumping. Predatory dumping is potentially the most troubling to the importing country. If the exporter succeeds, it will raise prices in the future, and the importing country can be harmed. But predatory dumping probably is rare. The importing country could also have concerns about cyclical dumping. If used aggressively, cyclical dumping can export unemployment.
核心知识点
Dumping
Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries.
- According to the World Trade Organization (WTO):
- Dumping
- occurs when goods are exported at a price less than their
Proposals for Reform
Actual importing-country government policies toward dumping generally do not make these economically sensible distinctions. The policy usually investigates alleged dumping by looking at whether the export price is too low, by either standard, and looking at whether there is injury to domestic industry. If both are found, then the importing country imposes antidumping duties equal to the difference between the low export price and the “normal price” or “fair market value.” The policy does not look at the overall effect of alleged dumping on the national well-being of the importing country, because it does not examine the effects on domestic consumers, and it does not attempt to determine the reason for the dumping.
- Limit antidumping actions to situations in which predatory dumping is plausible. Focus on the type of dumping that is most likely to be bad for the world and for the importing country.
- Expand the injury standards to require that full weight be given to consumers and users of the product. Shift to injury to net national well-being.
- Replace antidumping policy with
Export Subsidies
Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries.
- Governments promote or subsidize exports more often than they restrict or tax exports.
- export subsidy
- is controversial because it violates international norms about fair trade.
Should the Importing Country Impose Countervailing Duties?
WTO rules generally prohibit export subsidies and permit importing countries to impose countervailing duties in response. We examine the peculiar economics of all of this, using the case in which the export subsidy lowers the price of exports, and the market is otherwise competitive. Because of the lower import price, the importing country gains well-being in the shift from free trade with no subsidy to free trade with the foreign export subsidy (and no countervailing duty).
- If the exporting country is large enough to influence the world price of the exports, then the export subsidy lowers the price that the importing country pays for these exports. The importing country benefits from improved terms of trade.
- countervailing duty
- can reverse these effects, but
WTO Rules on Subsidies
WTO rules generally prohibit export subsidies and permit importing countries to impose countervailing duties in response. We examine the peculiar economics of all of this, using the case in which the export subsidy lowers the price of exports, and the market is otherwise competitive. Because of the lower import price, the importing country gains well-being in the shift from free trade with no subsidy to free trade with the foreign export subsidy (and no countervailing duty).
- The WTO rules divide subsidies into two types:
- Subsidies linked directly to exporting are prohibited, except export subsidies used by the lowest-income developing countries.
- Subsidies that are not linked directly to exporting but still have an impact on exports are
案例与应用
The economics of an export subsidy are rather different if the ...
The economics of an export subsidy are rather different if the market is not perfectly competitive—a major insight of strategic trade policy. The text shows the example of competition between Boeing and Airbus for the world market for a new type of airplane. With no government support, it is possible that neither firm will enter the new market, because both will lose if both enter.
查看教材摘录
The economics of an export subsidy are rather different if the market is not perfectly competitive—a major insight of strategic trade policy. The text shows the example of competition between Boeing and Airbus for the world market for a new type of airplane. With no government support, it is possible that neither firm will enter the new market, because both will lose if both enter. But if one government offers a suitable subsidy, its firm will enter. If the other government does not offer support, then the other firm will not enter, and the first firm will earn high profits, bringing a benefit to its country and possibly to the entire world. But, if the other government also offers a subsidy, both firms produce. The world’s consumers gain, but each of the producing countries can end up with lower well-being because of its firm’s loss net of the government subsidy (the subsidy is a transf
Agriculture is Amazing: A high tariff or a zero quota can ...
Agriculture is Amazing: A high tariff or a zero quota can reduce imports of butter to zero. But, the high tariff or zero quota cannot turn butter into an EU export product, because production costs behind the import barrier will be too high to export successfully into foreign markets. Instead, the country will be at the no-trade national equilibrium, with a no-trade domestic price that is well above the world price.
查看教材摘录
Agriculture is Amazing: A high tariff or a zero quota can reduce imports of butter to zero. But, the high tariff or zero quota cannot turn butter into an EU export product, because production costs behind the import barrier will be too high to export successfully into foreign markets. Instead, the country will be at the no-trade national equilibrium, with a no-trade domestic price that is well above the world price. A price support in which the government purchases any production that is not sold to private buyers can turn butter into an EU export product. If the price support is set above the no-trade national equilibrium price, then there will be excess domestic supply at that price (domestic quantity supplied at the high support price is greater than domestic quantity demanded at that high price). The government then must decide what to do with the butter that it has purchased. It may
The United States would lose. The U.S. government pays a subsidy ...
The United States would lose. The U.S. government pays a subsidy of $5 for each pair of blue jeans to Canada. The export price is lower, but the quantity exported is the same as with free trade. Canada would gain the $5 on each pair. The gain would be collected as government revenue from the countervailing duty. Otherwise, the domestic price in Canada and all quantities are the same as with free trade.
查看教材摘录
The United States would lose. The U.S. government pays a subsidy of $5 for each pair of blue jeans to Canada. The export price is lower, but the quantity exported is the same as with free trade. Canada would gain the $5 on each pair. The gain would be collected as government revenue from the countervailing duty. Otherwise, the domestic price in Canada and all quantities are the same as with free trade. Because Canada’s gain equals the U.S.’s loss, this is another way to see that the well-being of the world as a whole is the same as it would be with free trade.
Antidumping in Action: American steel firms reacted to increasing steel ...
Antidumping in Action: American steel firms reacted to increasing steel imports in 2013 by filing a number of new dumping cases. Two of these cases did not lead to the imposition of antidumping duties because the U.S. government determined that, for the specific products in these two cases, American steel firms were not injured sufficiently by the rising imports.
查看教材摘录
Antidumping in Action: American steel firms reacted to increasing steel imports in 2013 by filing a number of new dumping cases. Two of these cases did not lead to the imposition of antidumping duties because the U.S. government determined that, for the specific products in these two cases, American steel firms were not injured sufficiently by the rising imports. A challenge for steel dumping cases filed in 2013 was that U.S. demand for steel was strong. The U.S. International Trade Commission (ITC), the government body that examines injury, is reasonably strict in the standards that it imposes for this determination. Even with rising imports, American firms were selling a lot of steel. For steel products that were in strong demand, it may not have been possible for American steel firms to show sufficient injury from the dumped imports. But, why did the American firms file these two case
课件纲要
- Dumping
- Reasons for Dumping
- Persistent Dumping
- Persistent Dumping - Long Description
- Reacting to Dumping: What Should a Dumpee Think?
- Actual Antidumping Policies: What is Unfair?
- Three Proposals for Reform
- Safeguard Policy
- Export Subsidies
- Export Subsidy: Competitive Market
- Export Subsidy, Small Country,
- Export Subsidy, Large Country,
习题精选
题目 1
Which of the following refers to dumping?
- A Selling domestic goods in the international market at much lower prices.
- B Selling domestic goods of inferior quality in the international markets at higher prices.
- C Restricting the sale of domestic goods within the geographic boundary of the country.
- D Selling domestic goods at discounted prices to local consumers and selling the same at much higher prices to foreign consumers.
答案：A · Selling domestic goods in the international market at much lower prices.
题目 2
________ occurs when a firm temporarily charges a low price in the foreign export market, with the purpose of driving its foreign competitors out of business.
- A Persistent dumping
- B Cyclical dumping
- C Predatory dumping
- D Seasonal dumping
答案：C · Predatory dumping
题目 3
Which of the following is said to occur when a firm lowers its price to limit the decline in the quantity sold during a period of recession?
- A Persistent dumping
- B Cyclical dumping
- C Predatory dumping
- D Seasonal dumping
答案：B · Cyclical dumping
题目 4
Which of the following is said to occur when a firm lowers its price to sell off excess inventories of a product?
- A Persistent dumping
- B Cyclical dumping
- C Predatory dumping
- D Seasonal dumping
答案：D · Seasonal dumping
题目 5
Which of the following is said to occur when a firm with market power uses price discrimination between markets to increase its total profit?
- A Persistent dumping
- B Cyclical dumping
- C Predatory dumping
- D Seasonal dumping
答案：A · Persistent dumping
题目 6
A firm maximizes profits by charging a lower price to foreign buyers if
- A it has a greater monopoly power in the foreign market than it has in its home market.
- B the foreign demand for its good is more elastic than the domestic demand.
- C the buyers in the home country have access to cheaper imports from the rest of the world.
- D the size of the foreign market is much larger than the home market.
答案：B · the foreign demand for its good is more elastic than the domestic demand.
题目 7
Persistent dumping can occur if a profit-maximizing firm faces a ________ demand in the home market and sells its good in a ________ international market.
- A relatively elastic; less competitive
- B relatively inelastic; less competitive
- C relatively inelastic; highly competitive
- D relatively elastic; highly competitive
答案：C · relatively inelastic; highly competitive
题目 8
Which country had no antidumping cases until the early 1990s, but became the top initiator of antidumping cases for the time period 2012-2016?
- A Canada
- B India
- C China
- D United States
答案：B · India
题目 9
In early 2018, nearly half of all antidumping duties in effect in the United States were on
- A textiles.
- B chemicals.
- C steel products.
- D food grains.
答案：C · steel products.
题目 10
Which of the following statements about dumping is true?
- A Consumers and import-competing producers in the importing country are both hurt by dumping.
- B Logically, an import country should never allow seasonal and introductory-price dumping.
- C Dumping helps to improve the importing country's terms of trade.
- D Predatory dumping occurs quite frequently in modern markets.
答案：C · Dumping helps to improve the importing country's terms of trade.
题目 11
Which of the following is NOT a way in which a safeguard policy is better than antidumping policies?
- A Firms and governments do not need to show that foreign exporters have done anything unfair.
- B There is pressure for import-competing firms to adjust their production to be more competitive with foreign exporters.
- C The interests of consumers can be disregarded since they do not play a role in determining whether to invoke a safeguard policy.
- D The protection provided to the import-competing sector is explicitly temporary.
答案：C · The interests of consumers can be disregarded since they do not play a role in determining whether to invoke a safeguard policy.
题目 12
Which of the following statements about an export subsidy on a particular product is accurate?
- A An export subsidy can switch the product from being exported to being imported.
- B An export subsidy reduces the amount available in the domestic market of the exporting country and increases the amount imported by the foreign country.
- C An export subsidy increases the price paid by foreign buyers, relative to the price that local consumers pay for the product.
- D An export subsidy increases the net national well-being of a large exporting country.
答案：B · An export subsidy reduces the amount available in the domestic market of the exporting country and increases the amount imported by the foreign country.
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# 第11章 Pushing Exports ## 章节概览 Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries. The chapter has two major purposes: Examine dumping—what it is, why it occurs, how it affects importing countries, and what government policies are used in importing countries. ## 知识点 ### 1. Dumping - 教学说明：Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries. - 支撑要点：According to the World Trade Organization (WTO): - 支撑要点：Dumping - 支撑要点：occurs when goods are exported at a price less than their - 来源类型：manual ### 2. Proposals for Reform - 教学说明：Actual importing-country government policies toward dumping generally do not make these economically sensible distinctions. The policy usually investigates alleged dumping by looking at whether the export price is too low, by either standard, and looking at whether there is injury to domestic industry. If both are found, then the importing country imposes antidumping duties equal to the difference between the low export price and the “normal price” or “fair market value.” The policy does not look at the overall effect of alleged dumping on the national well-being of the importing country, because it does not examine the effects on domestic consumers, and it does not attempt to determine the reason for the dumping. - 支撑要点：Limit antidumping actions to situations in which predatory dumping is plausible. Focus on the type of dumping that is most likely to be bad for the world and for the importing country. - 支撑要点：Expand the injury standards to require that full weight be given to consumers and users of the product. Shift to injury to net national well-being. - 支撑要点：Replace antidumping policy with - 来源类型：manual ### 3. Export Subsidies - 教学说明：Chapters 8 through 10 focused on government policies toward imports, with little attention to government policies and business practices in the exporting countries. This chapter shifts to looking at various practices and policies that can increase exports, as well as the effects of these export-promoting activities on importing countries. - 支撑要点：Governments promote or subsidize exports more often than they restrict or tax exports. - 支撑要点：export subsidy - 支撑要点：is controversial because it violates international norms about fair trade. - 来源类型：manual ### 4. Should the Importing Country Impose Countervailing Duties? - 教学说明：WTO rules generally prohibit export subsidies and permit importing countries to impose countervailing duties in response. We examine the peculiar economics of all of this, using the case in which the export subsidy lowers the price of exports, and the market is otherwise competitive. Because of the lower import price, the importing country gains well-being in the shift from free trade with no subsidy to free trade with the foreign export subsidy (and no countervailing duty). - 支撑要点：If the exporting country is large enough to influence the world price of the exports, then the export subsidy lowers the price that the importing country pays for these exports. The importing country benefits from improved terms of trade. - 支撑要点：countervailing duty - 支撑要点：can reverse these effects, but - 来源类型：manual ### 5. WTO Rules on Subsidies - 教学说明：WTO rules generally prohibit export subsidies and permit importing countries to impose countervailing duties in response. We examine the peculiar economics of all of this, using the case in which the export subsidy lowers the price of exports, and the market is otherwise competitive. Because of the lower import price, the importing country gains well-being in the shift from free trade with no subsidy to free trade with the foreign export subsidy (and no countervailing duty). - 支撑要点：The WTO rules divide subsidies into two types: - 支撑要点：Subsidies linked directly to exporting are prohibited, except export subsidies used by the lowest-income developing countries. - 支撑要点：Subsidies that are not linked directly to exporting but still have an impact on exports are - 来源类型：manual ## 案例 ### 案例 1: The economics of an export subsidy are rather different if the ... The economics of an export subsidy are rather different if the market is not perfectly competitive—a major insight of strategic trade policy. The text shows the example of competition between Boeing and Airbus for the world market for a new type of airplane. With no government support, it is possible that neither firm will enter the new market, because both will lose if both enter. ### 案例 2: Agriculture is Amazing: A high tariff or a zero quota can ... Agriculture is Amazing: A high tariff or a zero quota can reduce imports of butter to zero. But, the high tariff or zero quota cannot turn butter into an EU export product, because production costs behind the import barrier will be too high to export successfully into foreign markets. Instead, the country will be at the no-trade national equilibrium, with a no-trade domestic price that is well above the world price. ### 案例 3: The United States would lose. The U.S. government pays a subsidy ... The United States would lose. The U.S. government pays a subsidy of $5 for each pair of blue jeans to Canada. The export price is lower, but the quantity exported is the same as with free trade. Canada would gain the $5 on each pair. The gain would be collected as government revenue from the countervailing duty. Otherwise, the domestic price in Canada and all quantities are the same as with free trade. ### 案例 4: Antidumping in Action: American steel firms reacted to increasing steel ... Antidumping in Action: American steel firms reacted to increasing steel imports in 2013 by filing a number of new dumping cases. Two of these cases did not lead to the imposition of antidumping duties because the U.S. government determined that, for the specific products in these two cases, American steel firms were not injured sufficiently by the rising imports. ## 习题 ### 题目 1 Which of the following refers to dumping? - A) Selling domestic goods in the international market at much lower prices. - B) Selling domestic goods of inferior quality in the international markets at higher prices. - C) Restricting the sale of domestic goods within the geographic boundary of the country. - D) Selling domestic goods at discounted prices to local consumers and selling the same at much higher prices to foreign consumers. ### 题目 2 ________ occurs when a firm temporarily charges a low price in the foreign export market, with the purpose of driving its foreign competitors out of business. - A) Persistent dumping - B) Cyclical dumping - C) Predatory dumping - D) Seasonal dumping ### 题目 3 Which of the following is said to occur when a firm lowers its price to limit the decline in the quantity sold during a period of recession? - A) Persistent dumping - B) Cyclical dumping - C) Predatory dumping - D) Seasonal dumping ### 题目 4 Which of the following is said to occur when a firm lowers its price to sell off excess inventories of a product? - A) Persistent dumping - B) Cyclical dumping - C) Predatory dumping - D) Seasonal dumping ### 题目 5 Which of the following is said to occur when a firm with market power uses price discrimination between markets to increase its total profit? - A) Persistent dumping - B) Cyclical dumping - C) Predatory dumping - D) Seasonal dumping ### 题目 6 A firm maximizes profits by charging a lower price to foreign buyers if - A) it has a greater monopoly power in the foreign market than it has in its home market. - B) the foreign demand for its good is more elastic than the domestic demand. - C) the buyers in the home country have access to cheaper imports from the rest of the world. - D) the size of the foreign market is much larger than the home market. ### 题目 7 Persistent dumping can occur if a profit-maximizing firm faces a ________ demand in the home market and sells its good in a ________ international market. - A) relatively elastic; less competitive - B) relatively inelastic; less competitive - C) relatively inelastic; highly competitive - D) relatively elastic; highly competitive ### 题目 8 Which country had no antidumping cases until the early 1990s, but became the top initiator of antidumping cases for the time period 2012-2016? - A) Canada - B) India - C) China - D) United States ## 参考答案 - 题目 1: 答案：A | 选项内容：Selling domestic goods in the international market at much lower prices. | Topic：Dumping | Difficulty：1 Easy - 题目 2: 答案：C | 选项内容：Predatory dumping | Topic：Dumping | Difficulty：1 Easy - 题目 3: 答案：B | 选项内容：Cyclical dumping | Topic：Dumping | Difficulty：1 Easy - 题目 4: 答案：D | 选项内容：Seasonal dumping | Topic：Dumping | Difficulty：1 Easy - 题目 5: 答案：A | 选项内容：Persistent dumping | Topic：Dumping | Difficulty：1 Easy - 题目 6: 答案：B | 选项内容：the foreign demand for its good is more elastic than the domestic demand. | Topic：Reacting to Dumping: What Should a Dumpee Think? | Difficulty：1 Easy - 题目 7: 答案：C | 选项内容：relatively inelastic; highly competitive | Topic：Reacting to Dumping: What Should a Dumpee Think? | Difficulty：2 Medium - 题目 8: 答案：B | 选项内容：India | Topic：Actual Antidumping Policies: What is Unfair? | Difficulty：1 Easy ## AI / NextLab 使用建议 - NextLab 总览：用贸易分析实验室的理论模块、图表和政策分析工具继续扩展本章内容。 https://digitconnection.ai/nextlab/