The use of money for exchange:
A)increases the use of barter.
B)reduces consumer sovereignty.
C)decreases the coincidence of wants.
D)encourages more specialization in production.

Question

Quizplus · Accepted Answer

The use of money for exchange encourages more specialization in production, as it allows individuals or businesses to focus on producing what they are most efficient at, and then trade that good or service for money, which can be used to purchase other goods or services they need. This specialization leads to increased efficiency and productivity in the economy. The use of money also reduces the need for barter and ultimately increases the overall efficiency of the economy.

The Use of Money for Exchange