Planet Money

#581: Free Money

Planet Money

There's a term in economics, arbitrage, that basically means free money. It's finding a difference in price, a pricing mistake, you can exploit to make money. Arbitrage is a risk-free way to buy low and sell high. Everyday there are loads of people and sophisticated computer algorithms searching for an arbitrage opportunity, but true arbitrages are almost impossible to find. Today on the show, we meet two guys who say they've found one, and we visit the storage locker in Utah where they keep their secret. 

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