Without it, trade will be carried out on the basis of ...74.... where goods or services are exchanged as was the practice in the years gone by.

Analyze the question The sentence says that without "it" (most likely money, as the passage suggests), trade would be carried out on the basis of ____, "where goods or services are exchanged as was the practice in the years gone by." We need the word that names this old system of trade.

Explain the concept Before money existed, people traded by swapping one good or service directly for another. For example, a farmer might give yams in return for fish. This system is called barter.

Check each option

• A. barter: This means exchanging goods or services directly for other goods or services, without using money. It matches the definition in the sentence exactly.
• B. dealings: This means business transactions in general. It is too vague and does not describe a specific system of swapping goods.
• C. negotiation: This means discussing terms to reach an agreement. It is not a method of trade.
• D. exchange: This is close in meaning, but it is a general word. "Trade on the basis of exchange where goods are exchanged" would be repetitive. The sentence needs the specific term for the old system, which is barter.

Answer The correct option is A. barter.

Tip When a sentence describes "goods exchanged for goods without money", the word being tested is almost always barter. Also watch for repetition in options. If the blank is followed by "exchanged", the answer is unlikely to be "exchange".