In a barter economy with four products there are ________ unique relative prices.

Question

Quizplus · Accepted Answer

In a barter economy with four products, the number of unique relative prices is determined by the formula n(n-1)/2, where n is the number of products. For four products, this calculation is 4(4-1)/2 = 6. This formula accounts for the fact that the price of product A in terms of product B is the same as the price of product B in terms of product A, thus each pair is only counted once.

In a Barter Economy with Four Products There Are ________