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Question
What is a barter system?
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Solution
A barter system is a system that was used in ancient times to exchange goods. In other words, this system was used to exchange one commodity for another before the monetary system came into existence. For example, if a person having rice wants tea, then he can exchange rice with a person who has tea and needs rice. The economy having the barter system was called the ‘C-C economy’, i.e., a commodity is exchanged for a commodity.
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