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A Barter Economy Refers to a Situation in Which Goods

Question 1

Multiple Choice

A barter economy refers to a situation in which goods and services are traded for other goods and services, with no money involved in transactions. The major shortcoming of a barter economy is


A) transactions cannot take place without money.
B) the requirement of a double coincidence of wants.
C) government has no way of collecting taxes.
D) goods and services have no way of storing value.

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