Question

Which of the following is considered barter?

a) Selling a concert ticket on the day of the show for much more than the face-value
b) Prisoners of WWII camps exchanging cigarettes for food
c) Selling goods and services in the black market
d) Working in exchange for food

Answer 1

Option b, 'Prisoners of WWII camps exchanging cigarettes for food' is an example of bartering, a system where people exchange goods or services directly without a medium of exchange like money.

Step-by-step explanation:

The statement correctly identifies bartering as the act of exchanging goods or services without involving money. Specifically, the example of prisoners in WWII camps exchanging cigarettes for food exemplifies bartering. In this scenario, goods (cigarettes) are directly traded for other goods (food) in the absence of currency. This aligns with the fundamental concept of bartering.

Conversely, the other options provided involve transactions that don't align with the strict definition of bartering. Selling furniture to a neighbor involves a monetary transaction, as does a client paying an architect for services rendered. The implied formal employment arrangement with the gardener also suggests a service-for-money exchange rather than a direct barter. In essence, the accurate identification of the WWII prisoners' exchange highlights the essence of bartering—direct trading of goods or services without the involvement of currency.