Question

Barter requires that you know the market value of all the goods and services that you want and have to offer. are a member of an established barter network. find a person who has what you want and a person who needs what you have to offer. live in an area where there are people with diverse talents and a market with diverse products. The use of money provides a common value that makes buying and selling transactions simpler as long as there is one currency in use. establishes the value of goods and services. provides a common value that makes bartering transactions simpler. provides a common value that makes buying and selling transactions simpler than would be the case with barter. Consider the statement: "We want money only to part with it." When people express a desire to have money, they really want a larger balance in their checking accounts. to be rich. a better paying job. the goods and services that money can buy.

Answer 1

Answer: the goods and services that money can buy.

Explanation: this phrase simply means we only want money so we can spend it on other goods/services. Examples of such goods and services are

1. Cars

2. Electronics ( Television s)

3. Foods e.t.c

This begs the question what is money: money is a medium or means of exchange, money can be banknotes or coins.

Answer 2

Answer:

Barter requires that:

• find a person who has what you want and a person who needs what you have to offer. IN A BARTER SYSTEM, YOU TRADE ONE GOOD FOR ANOTHER, BUT YOU NEED TO FIRST FIND A GOOD THAT YOU WANT (SIMILAR TO MONEY), BUT THE SELLER MUST ALSO BE WILLING TO ACCEPT THE GOODS THAT YOU OFFER (NOT SIMILAR TO MONEY)

The use of money provides:

• a common value that makes buying and selling transactions simpler as long as there is one currency in use. ONE THE FUNCTIONS OF MONEY IS TO SERVE AS A UNIT OF ACCOUNT IN ORDER TO MAKE PRICE COMPARISONS EASIER.

When people express a desire to have money, they really want:

• the goods and services that money can buy. ANOTHER FUNCTION OF MONEY IS SERVING AS A MEDIUM OF EXCHANGE, SINCE THE VALUE OF MONEY IS NOT GIVEN BY THE PRINTED PAPER, BUT BY WHAT MONEY REPRESENTS.