explain double coincidence of wants ??? ( 5 mark answer )) pls answer fast my exam is tomorrow
The following points may help you:
a. The concept of double coincidence is used in reference to the barter system, where people exchanged services and goods for other services and goods .
b In the context of the problem associated with barter system the phenomena of double coincidence of want is explained.
c. It takes time to find potential buyers and then negotiate on something useful that they want to exchange as for barter to occur between two people, both would need to have what the other wants and that of same value.
d. It can be explained in simple sense when a supplier of good X wants good Y , and a supplier of good Y wants good A.
e. It implies mutual agreement of buying and selling same commodities which both the parties have agreed on.
a. The concept of double coincidence is used in reference to the barter system, where people exchanged services and goods for other services and goods .
b In the context of the problem associated with barter system the phenomena of double coincidence of want is explained.
c. It takes time to find potential buyers and then negotiate on something useful that they want to exchange as for barter to occur between two people, both would need to have what the other wants and that of same value.
d. It can be explained in simple sense when a supplier of good X wants good Y , and a supplier of good Y wants good A.
e. It implies mutual agreement of buying and selling same commodities which both the parties have agreed on.