Which of the following best defines 'involuntary exchanges'?

Involuntary exchanges are best defined as transactions that occur without the voluntary agreement of both parties, often due to external pressures or circumstances. This can occur in scenarios such as forced sales or other situations where one party does not agree to the exchange under normal circumstances, making it distinct from voluntary trades, which are based on mutual consent and benefit.

The definition captures the essence of these exchanges leading to compensation, as they often involve a transfer of ownership or property under undue pressure rather than through a mutually beneficial agreement. Understanding this concept is crucial, particularly in the context of tax implications related to forced sales or eminent domain situations, where individuals may receive compensation for property they were not willing to sell.

In contrast, the other options refer to voluntary exchanges or transactions where both parties are willing participants, which do not align with the concept of involuntary transactions.