What Is National Treatment? National treatment is a concept of international law that declares if a state provides certain rights and privileges to its own citizens, it also should provide equivalent rights and privileges to foreigners who are currently in the country. National treatment is the principle of giving others the same treatment as one’s
What Is a Natural Monopoly? A natural monopoly is a type of monopoly that exists typically due to the high start-up costs or powerful economies of scale of conducting a business in a specific industry which can result in significant barriers to entry for potential competitors. A company with a natural monopoly might be the
What Is Natural Capital? Natural capital is a reference to the inventory of natural resources held by companies, such as water, gold, natural gas, silver, or oil. Like all commodity resources, these natural capital commodities must be certificated in order for the company to write a derivative on the natural capital for sale in the
What Is Natural Gas Equivalent? Natural gas equivalent (NGE) refers to the amount of natural gas needed to equal the energy produced from one barrel of crude oil, as measured in British thermal units (BTUs). The natural gas equivalent for a barrel of crude oil is calculated to allow for a comparison between natural gas
What Are Natural Gas Liquids? Natural gas liquids (NGL) are components of natural gas that are separated from the gas state in the form of liquids. This separation occurs in a field facility or a gas processing plant through absorption, condensation, or other methods. There are several types of natural gas liquids and many different
What Is a Natural Guardian? A natural guardian, in legal terms, is a child’s biological or adopted mother or father. In a divorce, either or both parents may be granted legal custody with guardian rights. A natural guardian is empowered to make a wide range of decisions for a minor child, including medical and financial
What Is a Natural Hedge? A natural hedge is a management strategy that seeks to mitigate risk by investing in assets whose performances are inherently negatively correlated. For instance, a natural hedge against owning financial stocks is to hold bonds, since interest rate changes tend to influence each in opposite fashion, A natural hedge can
What Is Natural Law? Natural law is a theory in ethics and philosophy that says that human beings possess intrinsic values that govern their reasoning and behavior. Natural law maintains that these rules of right and wrong are inherent in people and are not created by society or court judges. Key Takeaways The theory of
What Is Natural Selection? In modern biology, natural selection is a process whereby species which have traits that enable them to adapt in an environment survive and reproduce, and then pass on their genes to the next generation. Natural selection means that species that can adapt to a specific environment will grow in numbers and
What Is Net Asset Value (NAV)? Net Asset Value is the net value of an investment fund’s assets less its liabilities, divided by the number of shares outstanding. Most commonly used in the context of a mutual fund or an exchange-traded fund (ETF), NAV is the price at which the shares of the funds registered with
