Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5058334 | Economics Letters | 2016 | 4 Pages |
Abstract
â¢I use online prices across countries to analyze the deviations from Law of One Price (LOP).â¢The deviations from LOP are relatively smaller for higher-priced products.â¢Income difference across countries is one reason for the price dispersions.â¢The impacts of income difference on price dispersions are smaller for higher-priced products.
Using price information about thousands of identical products sold across over 70 countries, I show that the deviations from Law of One Price (LOP) are substantial, and relatively smaller for higher-priced products. In addition, I find that income difference across countries is one reason for the price dispersions, and its impact is smaller for higher-priced products.
Keywords
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Yue Liu,