Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Money and Banking

Question:

What do we call those economic exchanges which do not involve money in it?

Options:

Fiat exchange

Utility exchange

Barter exchange

Both 2 and 3

Correct Answer:

Barter exchange

Explanation:

The correct answer is option 3: Barter exchange

Economic exchanges without the involvement of money into it are known as barter exchange. Barter exchange is the direct exchange of goods or services—without an intervening medium of exchange.