Advantages and disadvantages of Barter System
Barter system was one of the ancient forms of trade and exchange. Under the barter system the goods or services were exchanged directly with other goods and services. There was no medium of exchange like we have today in the form of money. There were some advantages and disadvantages of this system of exchange . Let us explore them through this blog. Advantages of the Barter System 1. It is the simplest form of trade The barter system is the simplest form of trade. It involves no complications. So in case you in case there is a rice seller who wants whet, he would just find the wheat seller and exchange the same. This therefore involves no complications and trade can be carried in a simple way. 2. No question of over or under production The reason for this is that goods are services are just to meant to meet the needs of the society. 3. Problems of foreign international trade do not arise Under this system the many of problems of international trade like that of
