The law of one price states that if transportation costs are relatively small,then the
A) nominal exchange rates for every countries' currency must be equal.
B) nominal exchange rate for a currency must equal the real exchange rate for that currency.
C) price of an internationally traded commodity must be the same in all locations.
D) producer with the lowest opportunity cost should be the only producer of any commodity.
E) price of every good will be the samE.
Correct Answer:
Verified
Q181: Gold is $420 per ounce in Canada
Q182: Between 1973 and 1999,annual inflation in developing
Q183: If a certain automotive part can be
Q184: If a certain automotive part can be
Q185: In comparison to a fixed exchange rate
Q187: Purchasing power parity is the theory that
Q188: Gold is $420 per ounce in Canada.The
Q189: The price of gold is 300 U.S.dollars
Q190: If a certain automotive part can be
Q191: The price of gold is US$300 per
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents