Q. law of one price prevails when (Solved)
1. transportation costs, barriers to trade (import-export levies, customs dutyet c) and other transaction costs (currency conversion fee) are insignificant.
2. there must be competitive markets for the goods and services in both countries.
3. the loop applies only to tradable goods. loop is not applicable to immobile goods such as houses and many services that are local in nature.
4. all the above
- d. all the above