The law of one price is an economic rule which states that in an efficient market, identical goods and services produced in different countries should have a single price.

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The law of one price is a true economic rule that applies to an efficient market. It means that identical goods and services produced in different countries should have the same price, accounting for transportation costs and other factors. This rule helps ensure that trade is fair and efficient, and that market participants are able to take advantage of price differences to profit from arbitrage opportunities. However, in reality, many factors can prevent the law of one price from holding true, such as trade barriers, transaction costs, and differences in regulations and standards.

The Law of One Price Is an Economic Rule Which