Abstract
This paper focuses on the implications of the deviations from the Law-of-One-Price on the implied widths of borders across the U.S. states through using good-level price data from the U.S. cities. There is evidence for a positive and significant border effect across the states of the U.S. in terms of good-level price dispersion. Distance equivalent of the state border effect is, on average, about 3,344 miles, independent of the price dispersion measure used.
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Yilmazkuday, H. How wide is the border across U.S. states?. Lett Spat Resour Sci 5, 25–31 (2012). https://doi.org/10.1007/s12076-011-0062-z
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DOI: https://doi.org/10.1007/s12076-011-0062-z