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Dumping And “Material Injury”: A Theoretical Note

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  • P.A. BLACK

Abstract

This paper looks at the notion of “material injury” when used as a condition for levying antidumping duties. Using a standard geometric model, we argue that the material injury suffered by import‐substituting industries is only one side of the dumping coin; it is necessary also to consider the possible benefits that other stakeholders, including consumers and other domestic producers, may derive from lower import prices. The decision whether to introduce antidumping duties should ideally be based on the net effect that dumping has on the social welfare of the broader community.

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  • P.A. Black, 2005. "Dumping And “Material Injury”: A Theoretical Note," South African Journal of Economics, Economic Society of South Africa, vol. 73(3), pages 363-365, September.
    • Handle: RePEc:bla:sajeco:v:73:y:2005:i:3:p:363-365
    DOI: 10.1111/j.1813-6982.2005.00024.x
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