Suppose that a Big Mac sells for 40.90 Norwegian kroners in Oslo and that the exchange rate
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Suppose that a Big Mac sells for 40.90 Norwegian kroners in Oslo and that the exchange rate is 8.18 kroners per U.S. dollar. If a Big Mac sells for $4.35 in New York, can you say that the law of one price holds?
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Financial Markets And Institutions
ISBN: 9780138043681
10th Edition
Authors: Frederic S Mishkin, Stanley Eakins
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