01788cas a2200265 a 4500 AALejournalIMF008026 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451858693 1018-5941 BD-DhAAL BD-DhAAL Rogoff, Kenneth. The Law of One Price Over 700 Years / Kenneth Rogoff, Kenneth Froot, Michael Kim. Washington, D.C. : International Monetary Fund, 2001. 1 online resource (43 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students This paper examines annual commodity price data from England and Holland over a span of seven centuries. Our data incorporates transaction prices on seven commodities: barley, butter, cheese, oats, peas, silver, and wheat, as well as pound/shilling nominal exchange rates going back, in some cases, to 1273. We find that the magnitude, volatility, and persistence of deviations from the law of one price have not declined by as much as one might expect. We find this despite lower transport costs, reduced trade protection, and fewer wars and plagues in the modern era. Our analysis is consistent with growing evidence that goods-market arbitrage remains highly imperfect, even today. Mode of access: Internet Froot, Kenneth. Kim, Michael. IMF Working Papers; Working Paper ; No. 2001/174 Full text available on IMF http://elibrary.imf.org/view/journals/001/2001/174/001.2001.issue-174-en.xml IMF e-Library