Barter System of Trade

Topic Content:

Before the introduction of money, there was a method of trade, known as trade by barter.

Trade by barter is a system of trade whereby goods are exchanged for goods without the use of money as a medium of exchange.

Problems of Barter Trade:

This was used during the primitive era and it had a lot of problems, including;

(i) Double Coincidence of Wants: It is not enough for a trader to have goods to offer, the trader must also look for somebody who has what he or