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Most Favored Nation Status

  • By: R. Rochelle Arrington
  • In: Encyclopedia of Geography
  • Edited by: Barney Warf
  • Subject:General Geography, Earth & Environmental Science

The concept of most favored nation (MFN), referred to as normal trade relation (NTR) status since 1998, is a method of establishing reciprocal trading policies between countries. Within geography, the concept of MFN status has not been well applied. Within political and economic geography, leaders of countries have used this concept as a mechanism for enhancing their political position to secure and maintain their status in the global arena. However, historically, the term and the usage of MFN have their origins in the realist school of thought and, more recently, the liberal school.

The concept of MFN is found in two versions: unconditional and conditional. Unconditional MFN status is the highest level that a country can reach. Under this system, a trading partner is guaranteed treatment ...

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