Barter with Intermediate Exchange of Goods
This chapter prepares the ground for the analysis of advanced transaction technologies by developing a barter model with intermediate exchange of goods. If there exists a lack of double coincidence of needs and wants, barter implies that at least some traders have to acquire goods temporarily which they do not actually desire. Accepting goods in exchange which an agent does not actually desire for trading them against the desired goods is called intermediate exchange of goods.7
KeywordsTrading Volume Equilibrium Price Equilibrium Strategy Equilibrium Path Excess Supply
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