The law of one price is enforced by:
A) governments.
B) producers.
C) consumers.
D) arbitrageurs.

Question

Quizplus · Accepted Answer

The law of one price is enforced by arbitrageurs who take advantage of price differences between different markets in order to profit. They buy low in one market and sell high in another until the price difference is eliminated and the law of one price is enforced. Governments, producers, and consumers do not have the ability to enforce the law of one price.

The Law of One Price Is Enforced By