The ratio at which a country can trade its exports for imports from other countries is called
A)a trade barrier.
B)the terms of trade.
C)autarky.
D)a free trade agreement.

Question

Quizplus · Accepted Answer

The ratio at which a country can trade its exports for imports from other countries is called the terms of trade. It reflects the value of a country's exports in relation to its imports and can be influenced by factors such as supply and demand, exchange rates, and tariffs. Choice A, trade barriers, refers to any measures that restrict or hinder international trade, such as tariffs, quotas, or embargoes. Choice C, autarky, refers to a state of economic self-sufficiency in which a country produces and consumes all its goods and services without any international trade. Choice D, a free trade agreement, is a treaty between two or more countries that aims to reduce or eliminate trade barriers and promote free trade between them.

The Ratio at Which a Country Can Trade Its Exports