Barter  

Saturday, December 20, 2008

Exchange of goods and services without using cash. Sometimes prevalent in times of war, revolution, hyperinflation and other disasters. Anybody with anything to trade can try bartering to get what they want. Children barter toys because they have no cash. In the “soft” or “black” economy people trade their labor for food, their surplus food for timber, and their surplus household fixtures for whatever they can get for them. Barter is less efficient than cash, if cash is available, and requires haggling skills. 

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