The graph below shows the trend of the terms of trade for the U.S. and China. Whichwould be inferred from the graph?Figure 6.9 Evolution of the Terms of Trade for the United States and China125120115110 -China1051009590 -8580UnitedStatoo157019801982198419861088199010921994O A) China's growth may have hurt the U.S. terms of trade.10961998200220042000B) China's recent growth may have been export-biased.20062008201020122014O C) U.S. terms of trade have been hugely deteriarated over the past decasde.D) U.S. exports have been competing with China's imporing sectors.

Terms of Trade = (Price of Exports)/(Price of Imports)*100 We can clearly see from the graph that…

The graph below shows the trend of the terms of trade for the U.S. and China. Which would be inferred from the graph? Figure 6.9 Evolution of the Terms of Trade for the United States and China 125 120 115 110- China 105 100 95 90 A5 80 United Statoo 70 1980 1982 1984 1088 1990 ON China's growth may have hurt the U.S. terms of trade. 1992 1994 1096 1998 2000 2002 2004 2006 2008 2010 2012 B) China's recent growth may have been export-biased. 2014 C) U.S. terms of trade have been hugely deteriorated over the past decasde. D) U.S. exports have been competing with China's imporing sectors.

The graph below shows the trend of the terms of trade for the U.S. and China. Which would be inferred from the graph? Figure 6.9 Evolution of the Terms of Trade for the United States and China 125 120 115 110- China 105 100 95 90 A5 80 United Statoo 70 1980 1982 1984 1088 1990 ON China's growth may have hurt the U.S. terms of trade. 1992 1994 1096 1998 2000 2002 2004 2006 2008 2010 2012 B) China's recent growth may have been export-biased. 2014 C) U.S. terms of trade have been hugely deteriorated over the past decasde. D) U.S. exports have been competing with China's imporing sectors.

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter3: Interdependence And The Gains Rrom Trade

Section: Chapter Questions

Problem 7PA

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