What is meant by Arbitrage?

Question

23 Dec 2024

Answer :

Word Count : 288

Arbitrage refers to the practice of exploiting price differences of the same or similar financial instruments in different markets or forms to generate a risk-free profit. It is a concept widely discussed in microeconomics and finance. The basic idea behind arbitrage is that if an asset is priced differently in two markets, a trader can buy the ______ _____ ____ __________ ______ _______ ____ _____ ___ _______.
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