All of the following options are reasons why the prices of goods and services deviate from the law of one price EXCEPT:

Question

Quizplus · Accepted Answer

The price index is a measure of the average level of prices in an economy, which can differ from the law of one price due to the inclusion of various price changes across different goods and services. However, sticky prices, speculation, and tariffs and quotas are all factors that can contribute to deviations from the law of one price as well.

All of the Following Options Are Reasons Why the Prices