Question

●What is double coincidence of wants?
●What is the medium of exchange?
●What is a borrower?​

Answer 1

Answer:

1.The situation in which both the parties have to agree to buy and sell each other commodities is called double coincidence of wants. FOR EXAMPLE : The shoemaker wants to buy wheat and the farmer wants to buy shoes then they both can exchange their commodities.

2.A medium of exchange is a function of money that expedites trade between a buyer and seller because it is widely accepted as payment for a good or service. Most societies use their currency, but stones, salt, gold, and tobacco have been used as a medium of exchange.

3.Borrower. A person or company that has received money from another party with the agreement that the money will be repaid. Most borrowers borrow at interest, meaning they pay a certain percentage of the principal amount to the lender as compensation for borrowing.

Answer 2

Answer:

Double coincidence of wants

The double coincidence of wants mean that both the parties have to agree to sell and buy each other's commodity i.e. what a person desires to sell is exactly what the other person wishes to buy.

Medium of exchange

A medium of exchange is an intermediary instrument or system used to facilitate the sale, purchase, or trade of goods between parties. For a system to function as a medium of exchange, it must represent a standard of value.

Borrower

A person or company that has received money from another party with the agreement that the money will be repaid.