Final answer:
It is true that determining value during barter can be difficult due to the lack of a standard unit of exchange and imperfect information. Items used in bartering do not always store value well over time, in contrast to money, which serves as a more stable medium of exchange and store of value.
Step-by-step explanation:
When bartering, it can be difficult to determine the value of goods and services because there is no standard unit of exchange. This makes it true that it's challenging to determine value during barter transactions. The lack of a common standard leads to difficulties in establishing the value of disparate items, especially when there is imperfect information available to either the buyer or the seller. For example, one may not know the market value of an item they own, or the relative scarcity of the item they wish to trade, hindering their ability to negotiate fairly and confidently.
In a barter system, goods and services themselves must serve as a store of value, which is problematic. Certain items, like the shoemaker's shoes or perishable goods such as strawberries, do not store value well over time, leading to depreciation and additional complexities when trying to plan future exchanges. This contrasts with money, which serves as a more stable store of value despite the presence of inflation.
Money simplifies these transactions by providing a standard measure of value, which enables people to make exchanges of unequal value through the use of money, avoiding the need for a direct swap. This is why modern economies prefer using money over bartering, as it circumvents the issue of finding a coincidental want and retains value over time, facilitating smoother and more precise transactions.