| gen. |
counter-trade (International trade conducted by barter. In general, barter is inefficient compared with the use of money, and bilateral trade is inefficient compared with multilateral trade. Counter-trade is thus clearly a second-best policy. It has nevertheless been used by many countries, including formerly planned economies. Its defenders argue that while counter-trade is not ideal, for an economy which has allowed its monetary system to break down, in the short run it is better than no trade at all. Alexander Demidov); bilateral trade (Countertrade means exchanging goods or services which are paid for, in whole or part, with other goods or services, rather than with money. A monetary valuation can however be used in counter trade for accounting purposes. In dealings between sovereign states, the term bilateral trade is used. OR "Any transaction involving exchange of goods or service for something of equal value." WAD Alexander Demidov); countertrade (international trade by exchange of goods rather than by currency purchase. COED Alexander Demidov) |
