What Could Cause the Terms of Trade to Move in a Country's

question 165

Multiple Choice

What could cause the terms of trade to move in a country's favour?

• A)If the average price of its exports increases.
• B)If the average price of its imports increases.
• C)If the average price of its exports decreases.
• D)If the costs of transport and insurance falls.

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Definitions:

Bad Checks

Checks that cannot be processed because the account on which they were drawn lacks sufficient funds, leading to legal and financial consequences for the issuer.

Oral Negotiable Instrument

A verbal agreement that is intended to have the same enforceability as a written negotiable instrument, though legally this is often not recognized.

Special Conditions

Specific provisions or clauses added to a contract or agreement that must be met in addition to the general terms.

Article 3

A section of the U.S. Constitution that establishes the judicial branch of the federal government, outlining the powers and structure of the Supreme Court and other federal courts.