Which of the Following Might Discourage Covered Interest Arbitrage Even

question 2

Multiple Choice

Which of the following might discourage covered interest arbitrage even if interest rate parity does not exist?

• A) transaction costs.
• B) political risk.
• C) differential tax laws.
• D) all of the above.

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Definitions:

Public Law 94-142

Public Law 94-142, also known as the Education for All Handicapped Children Act of 1975, mandates that all public schools accepting federal funds provide equal access to education for children with disabilities.

Learning Disabilities

Neurological disorders that affect the brain's ability to receive, process, store, and respond to information, impacting academic capabilities.

ADHD

Attention Deficit Hyperactivity Disorder, a neurodevelopmental disorder characterized by patterns of inattention, hyperactivity, and impulsivity that interfere with functioning or development.

Dyslexia

A category of learning disabilities involving a severe impairment in the ability to read and spell.