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07.07.2022 - 01:14

Does a perfect capital market exist in the real world?

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Does a perfect capital market exist in the real world?

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Nola April 14, 2023 в 06:53

No, a perfect capital market does not exist in the real world. A perfect capital market would have several characteristics, such as no transaction costs, perfect information, no barriers to entry, and homogenous goods. However, in reality, there are transaction costs involved in buying and selling securities, information is not always perfect or freely available, there are various barriers to entry, and there are often differences in the quality of financial assets. Thus, the real world capital market is far from being perfect.

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