Table 13.14 shows the output of kumquats per month.

-If the prices of a country's exports decrease and the prices of its imports increase,then the terms of trade will move in its favour.

Question

Table 13.14 shows the output of kumquats per month.
 
-If the prices of a country's exports decrease and the prices of its imports increase,then the terms of trade will move in its favour.

Quizplus · Accepted Answer

The terms of trade will move against the country in this scenario, as it will have to export more goods to maintain the same level of imports.

Table 1314 Shows the Output of Kumquats Per Month