"money act as intermediate in exchange process. Explain.
Answers
Answered by
36
Hey...
Money is the modern form of currency that is accepted as the medium of exchange and is a measure of value.
In a Barter System, where goods are directly exchanged without the use of money, double coincidence of wants is essential.
By serving as a medium of exchange, money removes the difficulties associated with the Barter System.
Money is authorised by the government of the country and nobody can legally refuse it as a medium of exchange for goods or services.
Thus, it can be concluded that money acts as an intermediate in the exchange process.
Hope this would help you.
Mark it as brainliest if you like.
@Saadya
Money is the modern form of currency that is accepted as the medium of exchange and is a measure of value.
In a Barter System, where goods are directly exchanged without the use of money, double coincidence of wants is essential.
By serving as a medium of exchange, money removes the difficulties associated with the Barter System.
Money is authorised by the government of the country and nobody can legally refuse it as a medium of exchange for goods or services.
Thus, it can be concluded that money acts as an intermediate in the exchange process.
Hope this would help you.
Mark it as brainliest if you like.
@Saadya
Answered by
6
Answer:
answer is: medium of exchange
Explanation:
Similar questions