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Money and interest rates

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Question 16

A local economy trades 25 distinct commodities. Under a pure barter system, a unique exchange rate exists for every possible pair of commodities. If the community adopts one of these commodities as a unit of account (money) to express the value of all other goods, by how many unique exchange ratios is the pricing system simplified?

275275275

276276276

300300300

576576576

Money and interest rates Questions

  1. A Level
  2. /Economics
  3. /Money and interest rates