Yes, that’s what I mean by consistency. Put call parity will generally exist because it’s consistent with expected behavior, otherwise market participants will

Yes, that’s what I mean by consistency. Put call parity will generally exist because it’s consistent with expected behavior, otherwise market participants will capture the inefficient pricing and bring it back to consistency. Here I mean the market has some structure and relationships between instruments and in so far as prices are consistent with the structure of the market and it’s instruments they’re “efficient,” or perhaps rational. But I think when people say “is the current marker rational or is it exuberant?” they don’t mean consistent / efficient, they mean “aligned with fundamentals in a way that makes rational sense to an economist.”