题目内容
An improvement in a nation's terms of trade occurs if the prices of its exports rise relative to the prices of its imports over a given time period.
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If a country's terms of trade worsen, it must exchange fewer exports for a given amount of imports.
Ifacountry'stermsoftradeimprove,itmustexchangemoreexportsforagivenamountofimports.
The terms of trade reprsents the rate of exchange between a country's exports and imports.
Assume 1990 to be the base year. If by the end of 2004 a country's export price index rose from 100 to 130 while its import price index rose from 100 to115, its terms of trade would equal 113.
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