Practicing Success

Target Exam

CUET

Subject

Economics

Chapter

Macro Economics: Money and Banking

Question:

Barter exchange was bundled with n number of limitations, so in order to smoothen the transaction which of the following is necessary?

Options:

Intermediate good

Final good

Consumer good

Durable good

Correct Answer:

Intermediate good

Explanation:

In order to ease the transactions, an INTERMEDIATE good is necessary as it would remove the problem of double co-incidence of wants that is faced in barter exchange.