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

International trade and free trade — practice question

The table sets out an economy’s terms of trade as an index number across the period 2019 to 2021. Table: - 2019: terms of trade index (2018 = 100) = 101 - 2020: terms of trade index (2018 = 100) = 104 - 2021: terms of trade index (2018 = 100) = 109 What conclusion can be drawn from the table?

  • AThe quantity of imports rose relative to the quantity of exports.
  • BThe price of exports rose relative to the price of imports.
  • CThe price of imports rose relative to the price of exports.
  • DThe value of exports rose relative to the value of imports.

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