2.6 The international economy (A-level only)

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Question 1
Easy

The table below shows an economy's volume of goods and services imported and exported between 2020 and 2022, expressed as index numbers (2020=1002020 = 1002020=100).

202020212022
Volume of goods exported100112125
Volume of goods imported1009182
Volume of services exported100106114
Volume of services imported1009588

The changes shown in the data are most likely to have been caused by

a sustained appreciation in the external value of the domestic currency.

an increase in consumer price inflation in the domestic economy relative to inflation abroad.

a depreciation in the external exchange rate of the domestic currency.

a rapid rise in domestic real household incomes.

2.6 The international economy (A-level only) Questions

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