The Law of One Price states that if equivalent goods or securities are traded simultaneously in different competitive markets, they will trade for the same price in each market.

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The Law of One Price is a basic concept in economics and finance, and it states that if equivalent goods or securities are traded simultaneously in different competitive markets, their prices will be the same in each market. This assumes that there are no transport costs, trade restrictions, or other barriers to market integration. The Law of One Price is an important principle for pricing, arbitrage, and risk management in global markets.

The Law of One Price States That If Equivalent Goods