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Management · Q660

International Finance and Treasury

Graduate and Post Graduate · Management · question 660

Q660

Rule which states that similar set of goods and services produced in various countries should have equal price is classified as

A.
law of similar mortgage rate
B.
law of one type manufacturing
C.
law of similar labour rules
D.
law of one price
Answer

Answer: Option D

Solution

Answer: Option D
Solution:
Rule which states that similar set of goods and services produced in various countries should have equal price is classified as law of one price. The law of one price is an economic concept that states that the price of an identical asset or commodity will have the same price globally, regardless of location, when certain factors are considered.