Economics 9708 · AS & A Level · International trade and free trade

International trade and free trade — practice question

Under which circumstance will a country’s terms of trade improve?

  • AIts total value of imports rises less than its total value of exports.
  • BIts volume of imports rises less than its volume of exports.
  • CThe prices of its imports rise by less than the prices of its exports.
  • DThe value of its external payments rises by less than the value of its external receipts.

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