Barter System- Past and Present

Firstly let’s know what barter system is?

This system was started when money came in existence and it’s been in use for centuries now. People exchanged services and goods for other services and goods in return. It’s basically negotiating the value of bartering items with the other party.

Past of Barter system:

It was introduced by Mesopotamia tribes in 6000 BC and bartering was adopted by Phoenicians. Phoenicians bartered goods from local areas to cities and places across the oceans. Babylonian also adapted and improved the system. The goods which were bartered were salt, human skulls, food, tea, weapons, and spices. Europeans bartered fur, perfumes and craft; whereas, Colonial Americans exchanged musket balls, deer skins, and wheat. Barter system grew more at the point of great depression in 1930’s due to the lack of money.

Present of Barter system:

Barter system has made a comeback using techniques that are been used more to excel in trading such as the Internet. By the use of internet, a person can buy items and goods and can sell also if it’s no longer needed. In this manner trading is done through online auction and swap markets.

There are advantages and disadvantages too. A person should know with whom trading is done with all proofs and certificates. This brings surety and protection for all trading parties.

By: Srishti Sharma

Content: https://www.mint.com/barter-system-history-the-past-and-present