International Parity Conditions These theories do not always work out to be 'true"when compared to what students and practitioners observe in the real world,but they are central to any understanding of how multinational business is conducted and funded in the world today. The mistake is often not with the theory itself, but with the interpretation and application of said theories.International Parity Conditions These theories do not always work out to be “true” when compared to what students and practitioners observe in the real world, but they are central to any understanding of how multinational business is conducted and funded in the world today. The mistake is often not with the theory itself, but with the interpretation and application of said theories