Multiple Choice
In the following offer curve diagram,
If, starting from the initial equilibrium point E, countries A and B both increase their Demand for computers, then country A's terms of trade will __________ and the volume of A's exports will __________.
A) improve; fall
B) improve; rise, fall, or stay the same (cannot be determined without more Information)
C) deteriorate; rise
D) improve, deteriorate, or stay the same (cannot be determined without more Information) ; rise
Correct Answer:

Verified
Correct Answer:
Verified
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