Horse trading refers to a negotiation process where parties make concessions and trade-offs to reach a mutually beneficial agreement. This term originated from the practice of negotiating the sale or exchange of horses, where both buyers and sellers would haggle over prices and terms. In modern contexts, horse trading can occur in various settings, including politics, business, and personal relationships. It often involves strategic bargaining, where each side seeks to maximize their gains while minimizing losses, leading to a compromise that satisfies both parties' interests.