The Problem with Barter Economies Is That They Require

question 21

Multiple Choice

The problem with barter economies is that they require:

• A)less time and trouble to trade as compared with a money economy.
• B)that there be a double coincidence of wants.
• C)a banking system for trade to occur.
• D)that there be a single coincidence of wants.

Learn about the concept of egocentrism and its significance in cognitive development.

Grasp the concept of object permanence and its development stage.

Identify the characteristics of the concrete operational stage according to Piaget.

Understand the development and significance of theory of mind.

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Definitions:

Aggregate Demand Curve

illustrates the total amount of goods and services that households, businesses, government, and foreign buyers collectively will desire at each possible price level.

Long Run Aggregate Supply

Represents the total output an economy can produce when using its resources in the most efficient way, without changing the price levels.

Expected Price Level

Expected price level refers to the anticipation of people regarding the general price level of goods and services in the economy in the future.

Price Level

The general price level average of all goods and services in the economy currently.