Trade between states or nations is called what?

Trade between states or nations is called what?

• A. Domestic Trade
• B. Commerce
• C. Barter
• D. Exchange

Answer: (B)

Commerce refers to the activity of buying and selling goods and services on a large scale, especially across borders and between states or nations. This makes it the right term for trade that occurs between countries, because it captures the broader system that supports cross-border exchange—not just the act of trading itself but also the logistics, regulations, and flows of money and goods that make international interactions possible. Domestic trade happens within one country, barter is trading without money, and exchange is a general swapping action without specifying scale or international scope; they don’t fit the idea of cross-border, large-scale trade as well as commerce does.

Commerce refers to the activity of buying and selling goods and services on a large scale, especially across borders and between states or nations. This makes it the right term for trade that occurs between countries, because it captures the broader system that supports cross-border exchange—not just the act of trading itself but also the logistics, regulations, and flows of money and goods that make international interactions possible. Domestic trade happens within one country, barter is trading without money, and exchange is a general swapping action without specifying scale or international scope; they don’t fit the idea of cross-border, large-scale trade as well as commerce does.