JAMB - Economics (2019 - No. 70)
Assume that, for a certain country in a given year, the index of import prices stands at 102, the index of export prices stands at 106. The terms of trade are (to the nearest whole number)
208
104
54
4
Forklaring
Terms of trade = \(\frac {\text{Index of export prices}} {\text{Index of import prices}}\) x 100
\(\frac {106}{102}\) x 100
= 103.9
≈ 104