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The "Most Favored Nation" clause in international trade refers to:
  • a)
    Giving preferential treatment to certain countries
  • b)
    Imposing higher tariffs on specific products
  • c)
    Granting trade privileges to the strongest economy
  • d)
    Extending the best trade terms to all trading partners
Correct answer is option 'D'. Can you explain this answer?
Most Upvoted Answer
The "Most Favored Nation" clause in international trade refe...
The "Most Favored Nation" (MFN) clause is a principle in international trade where a country extends its best trade terms and conditions, including tariffs and market access, to all other trading partners. It ensures that no country receives better treatment than others in terms of trade.
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The "Most Favored Nation" clause in international trade refers to:a)Giving preferential treatment to certain countriesb)Imposing higher tariffs on specific productsc)Granting trade privileges to the strongest economyd)Extending the best trade terms to all trading partnersCorrect answer is option 'D'. Can you explain this answer?
Question Description
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