Assume in Base Year 1990,the Index for the Volume of Exports

question 12

Multiple Choice

Assume in base year 1990,the index for the volume of exports is equal to 100,and we find that,for the 2004 fiscal year,the US price index for exports has risen 3 percent,the price index for imports has fallen by 4 percent,and the index for the volume of exports is 95 in 2004.What is the value of the U.S.income terms of trade?

• A)95.1
• B)101.9
• C)88.6
• D)106.7

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