When People Take Advantage of Differences in Prices for the Same

question 29

Multiple Choice

When people take advantage of differences in prices for the same good by buying it where it is cheap and selling it where it is expensive, it is known as

• A) net exports.
• B) purchasing power parity.
• C) net capital outflow.
• D) currency appreciation.
• E) arbitrage.

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Definitions:

Italy

A country in southern Europe, known for its rich history, culture, art, and significant contributions to the development of Western civilization.

Psalter of Saint Louis

A medieval illuminated manuscript, notable for its detailed and elaborate illustrations of biblical psalms, associated with King Louis IX of France.

Stained Glass

In Gothic architecture, the colored glass used for windows.

Byzantine Mosaics

Decorative art forms from the Byzantine Empire, made by fitting together small pieces of colored glass, stone, or other materials to create intricate designs.