Convergence to the Law of One Price Without Trade Barriers or Currency Fluctuations

Using a panel of 51 prices from 48 cities in the United States we provide an upper bound estimate of the rate of convergence to Purchasing Power Parity. We find convergence rates substantially higher than typically found in cross-country data. We investigate some potentially serious biases induced

我们基于美国48个城市的51种价格面板数据，对向购买力平价（Purchasing Power Parity）收敛的速率给出了上限估计。我们发现该收敛速率显著高于跨国数据中通常观测到的水平，并考察了若干可能引发严重偏误的因素。