Question

Barter requires? a. that the exchange of goods be portable; b. that the exchanged goods be...

Barter requires? a. that the exchange of goods be portable; b. that the exchanged goods be durable; c. a double coincidence of wants; d. that the exchange medium be divisible; e. an effective middleman

Homework Answers

Answer #1

Double Coincidence of Wants is a requirement for the Barter. Double coincidence of wants means that the good a person wants to buy must be the good the other person is willing to sell while at the same time the first person should offer a good in return which the second person wants to buy. Thus, What one person wants to buy and sell, the other person must be ready to sell and buy.

Thus, Barter requires a double coincidence of wants.

Hence, Option c is correct.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Create an example of barter and explain the problem of the double coincidence of wants between...
Create an example of barter and explain the problem of the double coincidence of wants between two fictional people and two goods. Now introduce a third person and third good and show how this problem can possibly be resolved. What qualities would we expect to see in a good that emerges as a medium of exchange and why? (1 extra point for creativity)
The problem with barter economies is that they require: Select one: a. less time and trouble...
The problem with barter economies is that they require: Select one: a. less time and trouble to trade as compared with a money economy. b. that there be a double coincidence of wants. c. a banking system for trade to occur. d. that there be a single coincidence of wants.
QUESTION 7 Money is any commodity or token that is issued by the government. generally accepted...
QUESTION 7 Money is any commodity or token that is issued by the government. generally accepted as a means of payment. generally accepted as a means of measurement. a store of value. 2 points    QUESTION 8 The functions of money are medium of exchange, unit of account, and store of value. medium of exchange, the ability to buy goods and services, and checking accounts. medium of exchange, the ability to buy goods and services, and the ability to pay...
Consider a fiat money/barter system like that portrayed in this chapter. Suppose the number of goods...
Consider a fiat money/barter system like that portrayed in this chapter. Suppose the number of goods is 100, i.e., J = 100. Each search for a trading partner costs a person 2 units of utility, i.e., α = 2. (a) What is the probability that a given random encounter between people of separate islands will result in a successful barter? (b) What are the average lifetime search costs for a person who relies strictly on barter? (c) What are the...
The most direct way in which money replaces barter is through its use as a A....
The most direct way in which money replaces barter is through its use as a A. medium of exchange B. recording device C. store of value D. unit of account
When we speak of money's advantage over barter trade, we are primarily speaking of         money's...
When we speak of money's advantage over barter trade, we are primarily speaking of         money's function as:             a. a medium of exchange             b. a unit of account             c. a store of value             d. a standard of deferred payment ( I originally choose option C, but I was wrong)
Question A and B A. Pensacola Inc. exchanged old equipment for new equipment in two exchange...
Question A and B A. Pensacola Inc. exchanged old equipment for new equipment in two exchange transactions. Each transaction has commercial substance. Old Equipment Cash Book Value Fair Value Received Equipment A $ 73,700 $ 80,300 $ 12,800 Equipment B $ 60,300 $ 55,300 $ 9,100 For Equipment A, Pensacola would record the new equipment at: Multiple Choice $67,500. $69,000. $71,750. $55,000. B. Horton Stores exchanged land and cash of $4,000 for similar land. The book value and the fair...
1) MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question....
1) MULTIPLE CHOICE. Choose the one alternative that best completes the statement or answers the question. 1) Because money eliminates the "double coincidence of wants" problem, the development of money as a ________ has facilitated the expansion of trade. 1) _______ A) unit of account B) medium of exchange C) store of value D) measure of value 2) When you keep your savings in a safety deposit box, you are using money as a(n) 2) _______ A) unit of account....
1. The Debt is Group of answer choices The excess of taxes in a given year...
1. The Debt is Group of answer choices The excess of taxes in a given year The required reserve The excess of spending in a given year The sum of all the deficits minus the sum of all the surpluses 2. The two entities that are responsible for the creation of money are Group of answer choices The Fed and the US treasury The Fed and Congress Congress and the President The Fed and Banks 3. Which of the following...
1. Dan compares the rent of different apartments. He is using money as: a. A Medium...
1. Dan compares the rent of different apartments. He is using money as: a. A Medium of Exchange b. A Store of Value c. An element of Liquidity d. Dan is not using money e. A Unit of Account 2. Which of the following is an example of digital money? a. Rice b. Silver coin c. Ethereum d. Transfer money from two bank accounts using Zelle e. $10 bill 3. Cindy uses money from a checking account to invest in...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT