Final answer:
A distributor's margins based on the landed price include the total cost of bringing the goods to the market, which is affected by anti-dumping laws that can add tariffs to imported goods. These laws aim to protect domestic industries from underpriced imports that can drive local producers out of business and, if altered, can change the economic balance between producers and consumers in the involved countries.
Step-by-step explanation:
If a distributor's margins are based on the "landed" price of an import shipment, they will be based on the total cost to purchase, transport, and bring the goods into the importer's country. This includes the cost of the goods themselves, international transportation, insurance, customs duties, and any other charges up until the goods are ready to be sold in the distributor's market. Anti-dumping laws, which are regulations that prevent imported goods from being sold below the cost of production, can influence the landed cost of these goods by imposing tariffs that increase their price to reflect the approximate cost of production.
When discussing the impacts of anti-dumping measures such as import quotas or tariffs, we must consider both consumers and producers. For instance, if the Land of Submarines imposes an anti-dumping import quota of 30, producers in the exporting country may suffer from reduced market access, while producers in the importing country are protected from unfairly low prices that could drive them out of business. On the other hand, consumers in the importing country may face higher prices. If the quota were increased to 70, the balance of benefits and injuries to consumers and producers would shift accordingly, potentially creating different economic outcomes in each country.