If the law of one price does not hold, then:

Name: If the law of one price does not hold, then:
Brand: Quizplus
Rating: 4.8 (55 reviews)

Question

Quizplus · Accepted Answer

The law of one price states that in the absence of transaction costs and barriers to trade, identical goods should sell for the same price in different markets. If this law does not hold, it means there are discrepancies in prices for the same asset in different markets, allowing arbitrageurs to buy low in one market and sell high in another, thus making large profits.

If the Law of One Price Does Not Hold, Then