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Economics A Level (DONEEEEEEE)

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Pregunta:

Why do we use Money? Why not a Barter System?

Autor: eric_galvao



Respuesta:

-A Barter System is when Goods are swapped for other Goods eg Guns for Butter. This is Inefficient as it takes Lots of Times for Traders to successful Barter -Money acts as a Medium of Exchange - both Buyers and Sellers Value, which allows Nations to buy Goods even if Sellers don't want whatever the Nation produces. Exchange Rates are also Important here.


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