|
People TRADE (exchange)
with each other to get the goods and services they
want. To make trade easier, people use MONEY.
When trade is voluntary, both
people benefit.
Trade without
money is
called BARTER.
Example: Sally wants Alex’s
stuffed animal instead of her used bastetball. Alex would
rather have the basketball. By trading, they are both better
off. This is also true if Sally or Alex use money instead
of bartering. | 
