In the Px = export price index, Pm = import price index, Qx = export q – McqOptions

MCQOPTIONS

1.	In the Px = export price index, Pm = import price index, Qx = export quantity index,and Qm = import quantity index. Developing countries tend to maintain that their commodity term of trade have declined over the long run suggesting that _________ has declined?
A.	Px/Pm
B.	Pm/Px
C.	(Pm/Px)Qm
D.	(Px/Pm)Qx
Answer» B. Pm/Px

Discussion

No Comment Found

Related MCQs

Which of the following strategies have developing countries not used to deal with the problem of unstable export markets ?
Which of the following organizations primarily provides long-term loans to developing countries to help them develop their infrastructure such as schools hospitals and roads ?
Which of the following must be true about a signal that is used to reveal private information in order for the signal to be effective ?
Which of the following is true under pairwise majority rule if people vote for the outcome closest to their most preferred outcome ?
Which of the following is not true about how people make decisions ?
Which of the following is not a method firms use to avoid the moral hazard problem in the employment relationship ?
Which of the following is an example of a signal that is used to reveal private information ?
Which of the following is a response to People’s inconsistent behavior over time ?
Which of the following help explain why firms pay bonuses to workers during particularly profitable years to prevent workers from becoming disgruntled ?
Which of the following best demonstrates the problem of moral hazard ?