The act of buying a commodity in one market at a lower price and selling it in another market at a higher price is known as:

A. buying long.
B. selling short.
C. a tariff.
D. arbitrage.


Answer: D

Economics

You might also like to view...

According to the Laffer curve, the federal tax rate affects:

a. incentive to work. b. savings. c. investment. d. tax revenue. e. All of these.

Economics

Nations would gain from trade if a(n) _________ exists

a. absolute advantage b. exchange rate c. specialization d. comparative advantage e. terms of trade

Economics

While monopoly power can be abused, it can also be used beneficially. What are the major pros and cons of largeness in business?

Economics

What are the macroeconomic policy implications of the rational expectations hypothesis? What should policy makers do and not do?

Economics