________ is the ratio of the prices a nation receives for the goods it exports relative to the prices it receives for the goods it imports.

Question

Quizplus · Accepted Answer

The ratio described in the question is known as international terms of trade. It is not exchange equilibrium, which refers to the point where the supply of a currency equals the demand for it. It is also not balance of trade, which refers to the difference between a country's exports and imports. Net exports, on the other hand, refers to the value of a country's exports minus the value of its imports.

________ Is the Ratio of the Prices a Nation Receives