Economics · Financial Markets
What does the term 'Arbitrage' refer to in financial economics?
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1The practice of manipulating the market price of commodities
- 2Fixing exchange rates under a gold standard regime
- 3The simultaneous purchase and sale of an asset to profit from an imbalance in the price✓
- 4A legal dispute settlement process between two financial banks
Correct answer
The simultaneous purchase and sale of an asset to profit from an imbalance in the price
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