Question

In an economy that relies upon barter,

a. trade does not require a double coincidence of wants.
b. scarce resources are allocated just as easily as they are in economies that do not rely upon barter.
c. there is no item in the economy that is widely accepted in exchange for goods and services.
d. all of the above are correct.

Answer 1

In an economy that relies on barter, there is no item in the economy that is widely accepted in exchange for goods and services. Money is not used in a bartering system. Goods are exchanged for goods, and services are exchanged for services.