Question

Social dumping occurs when an exporting country
A. imposes an export tax on domestic businesses that export, to compensate for the opportunity cost to the domestic market.
B. creates unfair competition based on lower costs because the exporting country provides little social support system to the worker.
C. targets markets that consist of specific vulnerable groups in the importing country.
D. exports good that are not sellable in the domestic environment due to hazards and safety
issues.

Answer 1

Answer:

The correct answer is : B

Explanation:

Social dumping is a practice of using cheaper labor. In a country where many people migrate this workforce becomes available.  Then companies get a lot of profits and at the same time they save money. They are not obligated to give a social support system. This phenomenon affects the industries and the work environment.