why does money transaction system is better than barter system
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in bartar system goods are directly exchanged without the use of money.
a person holding money can easily exchange it for any commodity or service that the person wants.thus,people prefer to receive payments on money and then exchange the money for things that they want
a person holding money can easily exchange it for any commodity or service that the person wants.thus,people prefer to receive payments on money and then exchange the money for things that they want
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Using Barter system is very difficult.If the needs do not match exactly between two,no exchange will take place.Money solves the problem of double coincodence of wants.For examlle,if a person is having surplus of shoes wants wheat and another things of need then he can sell shoes in the market and get money after that he can purchase whatever he wished to buy.Thus money is better than barter system.
Hope its helpful.pls mark it the BRAINLIEST ANSWER
Hope its helpful.pls mark it the BRAINLIEST ANSWER
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