The exchange rate is kept the same in all parts of the market by

Question

Quizplus · Accepted Answer

Exchange arbitrage is the practice of buying and selling currencies in different markets to take advantage of differing prices for the same asset. This process helps to keep the exchange rate consistent across various parts of the market, as arbitrageurs will buy in markets where the currency is cheaper and sell in markets where it is more expensive, thus pushing the prices towards equilibrium.

The Exchange Rate Is Kept the Same in All Parts