Homework Help Forum: Economics

Posted by Lee on Thursday, October 29, 2009 at 7:33pm.

How does inflation influence the terms of trade?

• Economics - economyst, Friday, October 30, 2009 at 11:08am

  Do a little research, then take a shot, what do you think? Hint: What would an international trader do if he is buying or selling goods in a country with high expected inflation? What if the inflation rate is expected to be both high and uncertain? (e.g., could be 25%, could be 50%)

  
  

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