You see on eBay that a used XBOX 360 sells for $100 and a new XBOX 360 sells for $300. Is this an arbitrage opportunity?
A) Yes, because the market for a used XBOX 360 is a competitive market.
B) Yes, because the market for a used XBOX 360 is not the same as the market for a new XBOX 360.
C) No, because the market for a used XBOX 360 is a competitive market.
D) No, because the market for a used XBOX 360 is not the same as the market for a new XBOX 360.
Correct Answer:
Verified
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