7. One definition of pure arbitrage is to combine a series of investments with a series of...

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7. One definition of pure arbitrage is to combine a series of investments with a series of debts such that the net dollar investment is zero, no risk is taken, and a profit is made. How does this differ from pure speculation in the financial markets? Do you think that arbitrage opportunities can really exist? If so, do you think the opportunities for pure arbitrage would be long-lived? Please explain.

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Money And Capital Markets

ISBN: 9780077235802

10th Edition

Authors: Peter Rose, Milton Marquis

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