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Disadvantages Of Barter System
Disadvantages Of Barter System. Double coincidence refers to the mapping of people’s wants 1:1. This is only true for bilateral barter or trade involving two persons.

Refers to one of the main difficulties in storing wealth in the form of commodities. The second difficulty of barter exchange relates to the exchange of such commodities which cannot be divided. Difficulty in making deferred payments.
Answered Nov 13, 2020 By Laashya (51.3K Points) Selected Nov 17, 2020 By Raasya.
In the absence of a common medium of exchange, a problem arises, when a big indivisible commodity is to be exchanged for a smaller commodity. Double coincidence refers to the mapping of people’s wants 1:1. In such a modest system that is free from any menace of the monetary system, you can swap any goods or services easily.
Lack Of A Common Measure Of Value.
Their quality deteriorates with passage of time. Mutual coincidence pr double coincidence of wants means that if one party wants to exchange. Disadvantages of barter system despite its usefulness there are certain disadvantages of barter system which are outlined below lack of double coincidence of wants for a successful transaction of goods, satisfaction of both the parties is must.
Barter System Involves Various Difficulties And Inconveniences Which Are Discussed Below:
It means that a person having some good and looking for its exchange with the other good must get that. Like other monetary systems, barter comes with its own set of advantages and disadvantages. Lack of double coincidence of wants.
In Barter System If Two Persons Want To Exchange Their Goods, Then Their Desire Must Coincide For The Exchange Process To Happen.
Limitations of the barter system. Barter doesn’t stipulate only goods for goods exchange. Owning to lack of generally acceptable medium of exchange, a difficult problem of double coincidence of wants was faced by the persons who wanted to sell and buy goods.
Lack Of Double Coincidence Of Wants:
Under barter system, future payments are written in terms of specific goods. Though barter exchange is simple and immediate, it has certain limitations also, which are discussed hereunder: The second potential issue comes with trying to ensure a fair shift.
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