differentiate between money and barter system

Barter system:

* In a barter sysem, people give goods in exchange of goods.

* In a barter system, the parties have to agree to exchange each other goods.

*In a barter system, exchange cannot take place if the parties do not agree to buy each others goods.

*Therefore, double coincidence of wants is a must in a barter system.

Money system:

* In an economy that uses money, things are exchanged , using money as a medium.

* A man who is in possession of money can easily exchange it for anything that he wants.

*People prefer to receive payments in money and then exchange it for aything that they may want.

* The use of money as a medium of exchange the need for double coincidence of wants.