Frictional unemployment is often thought to explain relatively long spells of unemployment

Why do we subtract import spending from total expenditures?

What will be an ideal response?

Which of the following is not true of the terms of trade?

a. They are determined by supply and demand factors. b. They lie somewhere between the opportunity costs of the trading partners. c. GATT begins negotiations on the terms of trade. d. They depend on negotiations between trade partners. e. They often favor one partner more than the other.