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How does money solve the problem of double coincidence of wants? Explain with an example of your own.
Money exchange system is better system than barter system. The problem of double coincidence of wants is the most difficult problem of barter. If the things related to the necessity of two persons are not found, then exchange is impossible. Let's understand from an example - If a shoe manufacturer needs wheat, then he must first find a wheat seller who not only has wheat but also needs shoes. This problem can be solved immediately by using currency.
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