New Enroll in RBI Grade B New Batch - Starts on May 21

    Question

    What is the essence of 'barter' in economic

    transactions?
    A Exchange rate mechanism between central banks. Correct Answer Incorrect Answer
    B Direct exchange of goods without using money. Correct Answer Incorrect Answer
    C A short-term loan arrangement. Correct Answer Incorrect Answer
    D A legal contract for monetary payment. Correct Answer Incorrect Answer

    Solution

    Barter is an ancient practice where goods or services are directly exchanged without the intermediary use of money. This system allows parties to trade resources directly, which can be beneficial in economies where currency is either unstable or scarce.

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