Consider a two period "perfect capital market" setting w/ uncertainty. Namely under t=2 "good economy" and "bad economy" will occur with equal chance. Everybody has the same information.

No cheating etc. Consider two securities X and Y with the following promised time2payoffs and time1 prices. Recall that in this economy anybody promising to pay 100TL under good

and 70TL under,bad can sell a security X and receive 80TL nowand similarly for security Y. Also note that someone who purchases a security Y is entitled to receive at t=2,200 under good and 140 under bad)