Anti-dumping actions are now the trade policy of choice of developing and transition economies. To understand why these … economies have increasingly applied anti-dumping laws, we build a simple theoretical model of vertical intra-industry trade and … investigate the strategic incentives of exporting firms to undertake dumping. We show that the definition of dumping matters …

We build a simple theoretical model to understand why developing and transition economieshave increasingly applied anti-dumping … laws. To that end, we investigate the strategic incentivesof oligopolistic exporting firms to undertake dumping in these … theexchange rate depreciations observed recently. Dumping may arise even if consumers exhaustall arbitrage possibilities. …