Distance, Language, Religion, and the Law of One Price: Evidence from Canada and Nigeria
研究了物理距离、语言和宗教对加拿大（两次世界大战期间）和尼日利亚（现代）城市间一价定律偏离的影响，发现语言和宗教差异显著影响价格差异，且语言的作用与贸易成本和信号噪声比理论一致。
We examine the impact of physical distance, language, and religion on Law of One Price (LOP) deviations across interwar Canadian and modern Nigerian cities. The data comprise monthly average retail prices for narrowly defined goods collected by national statistical agencies. We find that differences in the fraction of the city population sharing a common language and religion have a significant impact on LOP deviations. The impact of language differences is consistent with a recently developed theory in which both trade costs and differences in signal–noise ratios contribute to LOP deviations.