kaupmáttarvísitala
Kaupmáttarvísitala, often translated as the terms of trade index, is an economic indicator that measures the ratio of a country's export prices to its import prices. It is calculated by dividing the index of export prices by the index of import prices and then multiplying by 100. A kaupmáttarvísitala above 100 signifies that a country's export prices have risen more than its import prices, indicating an improvement in its terms of trade. Conversely, a value below 100 suggests a deterioration.
This index is crucial for understanding a nation's purchasing power in international trade. When the kaupmáttarvísitala
Conversely, a declining kaupmáttarvísitala can signal economic challenges. If a country's export prices fall relative to
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