Question

Why is barter less efficient than an economy with money? Give an example

Answer 1

A typical example will be a three player economy in which one is growing potatoes, other is rearing meat and the last one is growing corn.

So if we want to have trade, we need to find which one of them is wanting what commodity which is desired by other as well. Suppose, the meat rearer wants corn but the corn one doesn't want meat then there is no exchange of good.

In case of money, people will simply exahnge the good for money in the market and use that money to purchase something that they want.