Share
Explore BrainMass

If a country's growth has been oriented toward expansion of its export industries, how has that country's terms of trade changed during the time that expansion has been pursued?

Solution Preview

Terms of trade can be defined as the ratio between price of exportable goods and price of importable goods. In other words, it depicts the number of times exports cover the imports of the country. The higher the ratio, the more favorable or better for the country as it shows that country is able to export more than it imports.

If a country's growth is oriented towards expansion of its export industries, the ...

$2.19