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terms of trade

BREAKING DOWN 'Terms of Trade - TOT'

❶A rise in the prices of exported goods in international markets would increase the TOT, while a rise in the prices of imported goods would decrease it. The Tigers made a few good trades this season and picked up some promising players.

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Terms of trade
What are 'Terms of Trade - TOT'?
Terms of Trade

The balance of trade is the difference between a country's import Net exports are the value of a country's total exports minus Find out how investing overseas begins with determining the risk of the country's investment climate.

Read about one the most important and successful exporting countries in the world, and learn more about the types of products it exports. The United States' trade deficit is historically large, the biggest in the world. With luck, it'll get even larger. Here are the worst performing currencies of Ever since world currencies abandoned the gold standard, many currency devaluation events have sent disruptive ripples across the globe.

Charting is not the only way to analyze the foreign-exchange market. Office for National Statistics, References in periodicals archive? We assume that, holding its local price fixed, each government achieves higher welfare when its terms of trade improve: The first term reflects the fact that an increase in the tax rate by the rival exporting nation B, results in an improved terms of trade for nation A.

Foreign investment in the exporting sector - welfare enhancing or welfare reducing? Priority for identifying the relative strength of each country's demand for the other's product as the determinant of the terms of trade goes to James Pennington, Robert Torrens, and, above all, John Stuart Mill. Relative price changes and terms of trade movements Long-run trends in the relative price of primary commodities and in the terms of trade of developing countries.

An analysis of import expansion policies. Price and Output Determination Under Monopoly. Principles and Theories of Macro Economics. National Income and Its Measurement. Principles of Public Finance.

Public Revenue and Taxation. National Debt and Income Determination. Determinants of the Level of National Income and Employment. Determination of National Income.

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What are 'Terms of Trade - TOT'? Terms of trade represent the ratio between a country's export prices and its import prices. The ratio is calculated by dividing the price of the exports by the price of the imports and multiplying the result by

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In economics, terms of trade (TOT) refer to the relationship between how much money a country pays for its imports and how much it brings in from exports. When the price of a country's exports increases over the price of its imports, economists say that the terms of trade has moved in a positive direction.

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Terms of trade definition is - the ratio between the prices of two countries participating in international trade. Terms of trade refers to the relative price of exports in terms of imports and is defined as the ratio of export prices to import prices. It can be interpreted as the amount of import goods an economy can purchase per unit of export goods.

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Terms of trade definition at, a free online dictionary with pronunciation, synonyms and translation. Look it up now! Superficially, an improvement in a country's terms of trade may be considered to be beneficial: in foreign-exchange terms, a given amount of exports will now finance the purchase of a greater amount of imports, or, put another way, a given amount of imports can now be purchased for a smaller amount of exports.