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Article on barter system with a title

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Answered by 1472
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Answered by adityasing627
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Barter is an old exchange system. In this system goods or services are directly exchanged for other goods or services. In was occurred without using a medium of exchange, such as money. Direct barter in western market economies has been aided by exchanges since the 1830s and thereafter various currencies invented. David Graeber argue that the inefficiency of barter in archaic society has been used by economists since Adam Smith to explain the emergence of money, the economy, and hence the discipline of economics itself.

Bartering is a very old concept. It was the sole form of purchasing goods and services between individuals earlier than the creation of currency. In spite of the fact that economics have significantly developed, bartering is just as legitimate today. Human life and activities are very simple in the initial stages. When people start their journey, at that time there was not any money.

People traded items with items (i.e. corn may be exchanged for cloth, house for horses, bananas for oranges and so on) and sometime precious goods were used as measurement of exchange. Barter system work well in such a traditional society where economic production is less, economic development is low and exchange is little.

Barter method is an age-old technique that was implementing by people to replace their services and commodities. It was a useful method before the discovery of currency. People receive certain goods or services in exchange of other goods or services. As the society development and people identified its limitation and so uses of such systems was falls continuously.

It may be considering root of economic concept of todays. It is consider an old transaction theory where currency was absent. Increasing difficulties and inconveniences of the barter system led to the invention of money. Such system was created problems for trade between nations.

Even today’s some parts of African nations and few backward areas of India barter system found. As the society developed than problems of such system is more realising. It is true that barter arrangement’s is useful for cash savings and also for reducing financial paperwork. Under such system there is no requires of money between trading parties.

Barter trade simply shows buy and sell of goods and services between two or more parties without the exercise of money. Bartering benefits individuals, companies and countries that see a mutual benefit in exchanging goods and services rather than cash, and it enables those who are lacking hard currency to obtain goods and services. It is an economic system in which two parties trade certain goods or services that each needs to survive.

Bartering benefits companies and countries that see a mutual benefit in exchanging goods and services rather than cash, and it also enables those who are lacking hard currency to obtain goods and services. It is a way of exchanging things for things. Nowadays we exchange things for money but in olden days, when money was not invented, people exchanged things that they do not need to others and got what they need.

Bartering is a system of interchange commodities and services between persons or groups of people. Such mechanism work properly when goods produce by one person has enough demands in the market. For example, a farmer with a surplus of wheat might trade some with another farmer with a surplus of corn.

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