Which of the Following Statements Is True of a Barter

question 81

Multiple Choice

Which of the following statements is true of a barter system?

• A)In a barter system,an individual offers one good or service to get another good or service.
• B)In a barter system,an individual offers money to get a good or service.
• C)In a barter system,an individual offers a good or service to get money.
• D)In a barter system,different kinds of money are exchanged for one another.
• E)In a barter system,all individuals are self-sufficient.

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Definitions:

Income

Money received on a regular basis from work, investments, business, etc., used to fund living expenses and savings.

Utility Function

A mathematical representation of how consumers rank different bundles of goods based on the level of satisfaction (utility) they provide.

Consumption

The use of goods and services by households or individuals, often considered in terms of the amount consumed.

Interest Rate

The interest rate is the cost of borrowing money expressed as a percentage of the total amount loaned, typically noted on an annual basis.