Triangular Arbitrage Eliminates Exchange Rate Differentials Across Three Markets for Three

question 39

True/False

Triangular arbitrage eliminates exchange rate differentials across three markets for three currencies.

---

Definitions:

70th Percentile

A statistical measure indicating that an individual or value falls into a position where 70% of the population scored below them.

Central Tendency

Statistical measures that summarize a data set by identifying the central position within that data set, commonly using mean, median, and mode.

Extreme Scores

Statistical outliers in a data set that are significantly higher or lower than most of the data.

Variability

The degree to which data points in a dataset differ from each other and from their mean, indicating the dispersion or spread.