If the Index of Export Prices for Country X Increases

Multiple Choice

If the index of export prices for Country X increases from 120 to 150 and the index of import prices increases from 100 to 125,it may be said that

A) the terms of trade have improved.
B) the terms of trade have deteriorated.
C) there has been no change in the terms of trade.
D) the terms of trade have improved by 10%.
E) there is insufficient information to calculate the terms of trade.