Question

What are the advantages of exchanging with money?​

Answer 1

Answer:

Doubtlessly money helps in removing the difficulties of barter system. 2. It facilitates exchange of goods and services and helps in carrying on trade smoothly. The present highly complicated economic system will not exist without money.

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Answer 2

(1) Cost of searching and time -

To find people of same coincidence it take time and also cost of searching will be increase by distance and difficulty

(2) Not fixed measure of value -

This is also a large drawback of barter system as there is no fixed value of measure as if you are going to buy 1kg of tomatoes what will you give and in what quantities so that trade will be justified. So in the utility of time the trade sometimes become injustice for someone

(3) No specialization of occupation

- Every person will do the work necessary for the day to day daily life things like growing food, rearing animals and there will no specialization in the field

(4) No storage of value -

you can't store the value as many perishable items can be perished off