When the average price level in the united states, relative to the average price levels in other countries, rises, this tends to raise imports and lower exports?

Respuesta :

When the average price level rise in the USA relative the to the average price levels in other countries, American products become more expensive for those countries. Hence, there will a fall in imports level. On the other hand, countries with Lowe prices should experience a rise in the price exports because their products are more price-competitive.