Skip to content

Course home

4.1.4 Terms of trade
x

What are the terms of trade?

What are the terms of trade?

The terms of trade measure the ratio of a country's average export prices to its average import prices. They are expressed as an index, usually with a base-year value of 100100100.

4.1.4 Terms of trade Lesson

  1. A Level
  2. /Economics
  3. /4.1.4 Terms of trade

Step-by-step lessons covering Edexcel A A Level Economics 4.1.4 Terms of trade for A Level Economics. Each lesson works through exam-style questions in Paper 1, Paper 2 and Paper 3 format. Start with the core supply-and-demand models before moving on to the more evaluation-heavy macroeconomic policy topics.