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Suppose I'm a fisherman, and I need a suit. Under the barter system, I have to find a tailor who needs fish. Or, I could find a tailor who needs some bread, then go find a baker who needs some fish.
As you can see, the barter system can be quite inefficient and time-consuming. When you replace barter with currency, you have a system that is truly efficient. Now, I can sell my fish to anyone who wants fish, and they can pay me in currency. I can take my currency and get whatever I need. Not only is it more fluid, I also have more time to fish.
Wiki User
∙ 10y ago
Wiki User
∙ 14y agoIn the early 1990's, persons traded goods and services because they did not have any knowledge of money. However as time elapsed persons became more sensible and grew to desire greater needs and wants. So as a result, persons began to specialize in various occupations and no longer bartered but insteadd used the money system. So to answer this question, the money system is more efficient because in order to barter each person must have something the other wants whereas with money you go to the producer and purchase your good or service directly without having to negotiate.
Wiki User
∙ 12y agoBecause you can get an unfair share if you barter.
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What is the transaction called when money is given in exchange for goods or services?
A purchase.
Does th choctaw people have a money or barter system?
they had a barter system. they didn't have money, just trade goods,
What system does a barter system operate without?
money
Goods and services are exchanged without the use of money in which system?
Barter
What best explains how the invention of money affected the barter system?
The invention of money supplemented the barter system by providing a nonperishable medium of exchange.
What is the transaction called when money is given in exchange for goods or services?
A purchase.
Does th choctaw people have a money or barter system?
they had a barter system. they didn't have money, just trade goods,
What system does a barter system operate without?
money
Goods and services are exchanged without the use of money in which system?
Barter
What best explains how the invention of money affected the barter system?
The invention of money supplemented the barter system by providing a nonperishable medium of exchange.
What involves the direct exchange of goods and services without the use of money as a. Medium of exchange?
Barter system
What system of trade did money replace?
Barter
What was the system before money called?
barter
The barter system is a system of trade that operates without?
money
What is it when people traded goods?
A trade, an exchange, or barter. An economic system which operates without money is called a barter system.
What are examples of money?
A barter system uses no money. A volunteer does not work for money.
What is the exchange of goods or services without the use of money?
The exchange of one good for another without the use of money is called Barter.
