Regulatory arbitrage is seen by critics as a "race to the bottom".This means that

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Regulatory arbitrage refers to the practice of taking advantage of different regulatory environments in different countries. In the context of MNCs, the term implies that they may shift their activities to countries with less stringent regulations in order to reduce costs and increase profits. This is often seen as a "race to the bottom" because it can lead to a situation where countries compete with each other to offer the least regulations in order to attract MNCs, which can have negative consequences for workers, consumers, and the environment.

Regulatory Arbitrage Is Seen by Critics as a "Race to the Bottom".This