Analysing changes in market integration
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Konstantin Gluschenko
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Article
📅
2004
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John Wiley and Sons
🌐
English
⚖ 148 KB
👁 2 views
## Abstract This paper presents a theoretical argument that the relationship between price differences and per capita income differences across locations can be used as a cross‐sectional test for the law of one price. Since the relationship should be statistically insignificant or very weak in an i