Question

For barter to occur, traders must have a:

a) unit of account.
b) coincidence of wants.
c) medium of exchange.
d) central banking facility.

Answer 1

Barter requires a coincidence of wants.

Step-by-step explanation:

The answer to the question is b) coincidence of wants. In order for barter to occur, traders must have a double coincidence of wants, meaning that each party has a specific good or service that the other desires. Without this coincidence, barter would not be possible. The other options, a) unit of account, c) medium of exchange, and d) central banking facility, are not necessary for barter to occur.