Which of the following statements best describes a barter system of exchange?
A)It does not involve the double coincidence of wants.
B)It involves the trading of goods directly for other goods.
C)It developed late in history.
D)It is the most efficient form of exchange.
E)It requires the use of money.

Question

Quizplus · Accepted Answer

A barter system involves the direct trading of goods for other goods without the use of money. It was commonly used in early human societies before the introduction of currency. Choice A is incorrect as a double coincidence of wants is often necessary for a successful barter exchange. Choice C is incorrect as barter systems were used earlier in history. Choice D is incorrect as barter systems may not always be the most efficient form of exchange depending on the situation. Choice E is incorrect as barter systems do not require the use of money.

Which of the Following Statements Best Describes a Barter System