What are the advantages of barter over money?

Answer 1

Others have asked this question... Here is one such person (Seriously, I didn't change the names): Crazy Nissan I helped a friend put in his driveway and in return he helped me shingle my roof. How do you figure the IRS should be involved???? Are You Crazy Nissan? I helped a friend put in a driveway and in return he helped me shingle my roof. How do you figure that the IRS should be involved?? posted by northstar21 on Jun 14, 08 at 8:30 pm | posted by lkylarry on Jun 14, 08 at 9:45 pm | Seems to me that a very compelling reason to barter in the first place is because of the IRS. Not that I doubt they could do it, but I wonder how they could cut themselves in on a no-cash deal... posted by btasler on Jun 15, 08 at 1:01 pm | With no paper trail, the only way the IRS would ever know of barter deals is if the parties involved volunteered that information. How likely is that? I suppose technically, I should be withholding and social security taxes when I pay the kid down the block to mow my lawn. The reality is that it just is not done. If I buy a camera in a state with no sales tax, technically I am supposed to pay Minnesota 6.5 percent as a user tax. Same with EBay transactions between private parties. The reality is that there are practically no people who volunteer to pay taxes on anything that is not readily traceable. My wife never pays a dime in sales tax for the merchandise she buys at garage sales and yard sales. And she has never seen anyone else pay it either.

Answer 2

What are the advantages of an economy using money as ...‎ -

Advantages and disadvantages of barter!!?? homework ...‎ -

What are the advantages and disadvantages of a barter ...‎ -

What are three advantages and disadvantages of Money ?‎ -

Answer 3

By bartering, sellers and buyers can come to an agreement over the price of the good (or service) this ensure that the price is the lowest that the buyer is willing to buy and the highest that the seller is willing to sell.

Hence, by using barter, one can expect the price to be the exact spot where the demand curve and the supply curve cross - equilibrium in a simple price-quantity graph.

Answer 4

Different people find value in different things, so something very common in one part of the world could be rare in another part of the world, so you would get a better trade. Whereas with money, there is pretty much one set price, so not good for the buyer. I hope that this was helpful. Please don't judge me!

Answer 5

There are many advantages of barter system. The simplicity and straightforwardness is one of the pros and also the fact that it was bilateral making it easy to work with for most people.

Answer 6

Bartering is the system of exchanging one good for another instead of using a monetary system. The advantage of barter is all parties involved get items they need.

Answer 7

no taxes; less concern about inflation