Triangular Arbitrage Would Take Place If the _____ Rate Between

question 64

Multiple Choice

Triangular arbitrage would take place if the _____ rate between two currencies was not _____ to the ratio of the two direct rates.

• A) cross; equal
• B) spot; equal
• C) cross; less than
• D) spot; less than
• E) cross; greater than

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Definitions:

Globalization

The process of increased interconnectedness and interdependence among countries, primarily driven by trade, investment, and technology.

Interdisciplinary Approach

An approach that integrates methods, perspectives, and knowledge from multiple disciplines to address complex issues more effectively.

Globalization

The process by which businesses, technologies, or philosophies spread worldwide, leading to increased interconnectedness and interdependence among nations.