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What is the function of the Federal Maritime Commission?

  1. Regulating air freight operations

  2. Controlling pricing of rail services

  3. Overseeing international water carrier practices

  4. Managing road transport regulations

The correct answer is: Overseeing international water carrier practices

The Federal Maritime Commission (FMC) plays an essential role in the regulation and oversight of international shipping practices, especially those involving ocean freight and water carriers. Its primary responsibility is to ensure fair competition among shipping lines and to promote the interests of American shippers, importers, exporters, and consumers. This includes monitoring the rates, practices, and overall operations of ocean transport companies to prevent unfair practices and ensure a reliable and efficient shipping environment. The commission also handles complaints about shipping practices and has the authority to address issues such as excessive rates or service failures. By overseeing international water carrier practices, the FMC helps facilitate a stable and transparent international shipping market, which is vital for trade and commerce. In contrast, the other options pertain to different modes of transportation that fall under the jurisdiction of other regulatory bodies. For instance, air freight operations, rail services pricing, and road transport regulations are managed by other specific authorities, emphasizing the FMC's unique role in maritime affairs.