Barter

question 53

Multiple Choice

Barter

• A) is the major means of exchange in centrally planned economies.
• B) accounts for over 30 percent of the dollar volume of all exchange in the U.S. economy.
• C) entails the exchange of goods for goods.
• D) is used to circumvent the problem of a lack of coincidence of wants among potential buyers and sellers.

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Definitions:

Total Fertility Rate

The typical amount of children a woman is expected to have throughout her life, based on present fertility rates.

Replacement Rate

The ratio of a retiree's pension benefit to their earning before retirement, often used to measure the adequacy of retirement income.

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return.

Market Rate

The prevailing price or interest rate in the market for goods, services, or securities.