Question

A company in Mexico recently agreed to trade coal to an American importer in return for American-made cars. This arrangement is an example of Group of answer choices a nontariff trade. arbitrage. barter. a letter of credit arrangement.

Answer 1

Answer:

barter

Explanation:

Barter system -

In this type of system , there us exchange of goods and commodities , without the use of any monetary value like money , is referred to as barter system .

When money system was not introduced , barter system was used , where people used to exchange the goods depending on the needs of each other .

Barter system is based on the bilateral basis.

Hence , from the given scenario of the question,

The correct term is barter.