What is a Barter System with Examples?

Answer: When two or more individuals exchange products or services without cash or other payment instruments like credit cards, this is known as bartering.

Trading is exchanging one good or service for another party’s exchange of another good or service.

A carpenter constructing a farmer’s fence is a straightforward illustration of a barter arrangement. The farmer might pay the building $1,000 in fruit or groceries instead of giving the facility $1,000 in money for labour and materials.

Examples of Barter System

• Apple is exchanged for Oranges
• Sugar is exchanged for rice
• books are exchanged for clothes
• Wheat is traded for pulses