Asked by Carissa Gulli on Jul 02, 2024
Which of the following statements is true of a barter system?
A) In a barter system economy,no rates of exchange are defined.
B) In a barter system economy,there are as many different rates of exchange as there are pairs of goods to trade.
C) In a barter system economy,rates of exchange are expressed in goods per dollar.
D) In a barter system economy,rates of exchange are expressed in dollars per good.
E) In a barter system economy,rates of exchange are denominated in gold or silver.
Rates Of Exchange
The value of one currency for the purpose of conversion to another.
Barter System
An exchange system in which goods or services are directly exchanged for other goods or services without the use of money.
Goods
Physical items that are produced for sale on the market, which can satisfy human wants or needs, such as food, clothes, and cars.
- Acknowledge the obstacles and issues inherent in barter systems.
Learning Objectives
- Acknowledge the obstacles and issues inherent in barter systems.