Which combination of movements in import prices and export prices would lead to a decline in the value of a country’s terms of trade?
- Aaverage import prices decrease by 5%, average export prices decrease by 10%
- Baverage import prices decrease by 10%, average export prices decrease by 5%
- Caverage import prices decrease by 10%, average export prices increase by 5%
- Daverage import prices increase by 5%, average export prices increase by 10%