Economics (AS & A Level) · Oct / Nov 2021 · Paper 13 · Question 21

The table shows the average changes in the prices and volumes of exports and imports. Which combination of changes would result in an increase in the terms of trade?

1. Aexport prices: –10%; export volumes: +15%; import prices: –15%; import volumes: +10%
2. Bexport prices: –3%; export volumes: +6%; import prices: –2%; import volumes: +1%
3. Cexport prices: +5%; export volumes: –5%; import prices: +6%; import volumes: –1%
4. Dexport prices: +10%; export volumes: –5%; import prices: +12%; import volumes: –6%

As printed in the paper