What is the name of the theory that states exchange-adjusted prices on identical tradeable goods and financial assets must be within transaction costs of equality globally? The Law of
A)One Price
B)Arbitrage
C)Parity
D)Capital Market Segmentation

Question

Quizplus · Accepted Answer

The theory described in the question is the Law of One Price, which states that exchange-adjusted prices for identical tradeable goods and financial assets must be equal or within transaction costs of equality across all markets globally.

What Is the Name of the Theory That States Exchange-Adjusted