The Terms of Trade

question 84

Multiple Choice

The terms of trade

• A) determine the prices of imports and exports.
• B) are equal to P_m/P_x.
• C) can determine only the price of imports.
• D) can determine only the price of exports.

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Definitions:

Behaviorism

A psychological approach that studies observable and quantifiable aspects of behavior and the effects of the environment on those behaviors, excluding theories of mind.

Immediate Response

A swift reaction to a stimulus or situation without delay.

Learning

The process of acquiring new, or modifying existing, knowledge, behaviors, skills, values, or preferences.

Experiments

A method of research in which variables are manipulated and controlled to investigate their effect on other variables, often used to determine causality.