Preference

Question: The 'terms of trade' of a country refers to--

  1. a.
    the rate at which domestic currency can be sold in foreign exchange markets
  2. b.
    the difference between the value of exports and the value of imports
  3. c.
    the system of tariff rates levied by the government of the country
  4. d.
    the relationship between average import prices and average export prices
  5. e.
    none of them
Answer: d
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