Terms of trade of a country:
A. Mean the trade agreement between trading countries
B. Is another name of exchange ratio of two currencies
C. Show the ratio between total export earnings and import bill of a country
D. Are determined by the price index of export and import goods
Answer:C
Terms of trade of a country:
A. Mean the trade agreement between trading countries B. Is another name of exchange ratio of two currencies C. Show the ratio between total export earnings and import bill of a country D. Are determined by the price index of export and import goods