Which term refers to the direct exchange of goods or services without money?

• A. Coins
• B. Barter
• C. Credit
• D. Trade

Answer: (B)

Barter is the direct exchange of goods or services without money. It happens when two people swap items they value, like trading a loaf of bread for a dozen eggs. Because no cash changes hands, both sides must want what the other has, a situation often called the double coincidence of wants. This makes barter simple in idea, but it can be inefficient in practice since you have to find someone who values your goods as much as you value theirs and there’s no common unit of value or straightforward way to save wealth. The other terms don’t fit because coins are money, credit implies paying later with a promise, and trade is a broad term that can involve money rather than specifying an exchange without money.