Still, Adam Smith really did seem to believe barter was real. He writes, “When the division of labour first began to take place, this power of exchanging must frequently have been very much clogged and embarrassed in its operations,” and then goes on to describe the inefficiencies of barter. And Beggs says that many textbooks sloppily seem to endorse this viewpoint. “They sort of use that fairy tale,” he explains.
Bartering does have its limitations. Many bigger (i.e., chain) businesses will not entertain the idea and even smaller organizations may limit the amount of goods or services for which they will barter (i.e., they may not agree to a 100% barter arrangement and instead require that you make at least partial payment). But in an economic crunch, bartering can be a great way to get the goods and services you need without having to pull money out of your pocket.
The corporate development & support team works towards providing an exceptional level of customer service to clients, franchisees and other corporate staff alike.  The programming team works hard to develop new tools and enhance existing tools to improve the BarterPay experience.   The graphic design team is dedicated to creating cutting-edge designs that market client offerings in a professional manner.  The admin team makes sure that the administrative functions of the exchange are running smoothly.
In recent years, barter has enjoyed a resurgence as a means of countering economic insecurity, unemployment and worker exploitation. The nature of modern-day work, the pervasiveness of the Internet and the rise of social networking have all contributed to its spread. Other examples of alternative economic systems include gift economies, sharing economies and time banks.
For instance, each time Apple releases a new version of the iPhone, the second-hand market for older versions of the iPhone enjoys a flurry of activity. However, you do have to be as careful with the barter of used goods as you would be with the purchase of used goods. Be sure everything is in working order and shows no signs of significant damage.

Yet after three years with the firm, she was dissatisfied. She was spending all her time advising millionaires when she wanted to work with average Torontonians, especially women. She couldn’t help noticing that most of her female friends were broke, confused and floundering. Online, her social media feeds were filled with panicky talk of recession budgets and empty wallets. There was one problem: those women couldn’t afford to pay her, and she certainly couldn’t afford to work for free. “I really wanted to do it,” she says, “but I couldn’t figure out a business model.”
In late 2012, Toronto even got its own spinoff of Trade School, a model that originated in New York in 2010. The Toronto Trade School holds classes—on anything from spoken word to origami flower–making to bicycle maintenance—and invites students to “pay” with an item or service from the teacher’s barter wish list. It has hosted more than 70 classes.

The corporate development & support team works towards providing an exceptional level of customer service to clients, franchisees and other corporate staff alike.  The programming team works hard to develop new tools and enhance existing tools to improve the BarterPay experience.   The graphic design team is dedicated to creating cutting-edge designs that market client offerings in a professional manner.  The admin team makes sure that the administrative functions of the exchange are running smoothly.

Yet after three years with the firm, she was dissatisfied. She was spending all her time advising millionaires when she wanted to work with average Torontonians, especially women. She couldn’t help noticing that most of her female friends were broke, confused and floundering. Online, her social media feeds were filled with panicky talk of recession budgets and empty wallets. There was one problem: those women couldn’t afford to pay her, and she certainly couldn’t afford to work for free. “I really wanted to do it,” she says, “but I couldn’t figure out a business model.”
Bartering is the process of obtaining goods or services by direct exchange without the use of currency. In times of economic instability or currency devaluation, it can be a great way to ensure the flow of necessary items and services into your household without using precious funds. Historically, face-to-face exchanges between familiar parties were most common, but the Internet has opened up a new medium for bartering opportunities for both person-to-person exchanges and third-party facilitated transactions.

Barter Network is operated by experienced, Certified Trade Brokers who know how to make barter work for business. Find out how we can help your business achieve faster growth, increased profitability and improved owner lifestyle - call us today or inquire online for more information! Let us show you how barter can work for your business or organization.


Barter-based economies are one of the earliest, predating monetary systems and even recorded history. People can successfully use barter in many almost any field. Informally, people often participate in barter and other reciprocal systems without really ever thinking about it as such -- for example, providing web design or tech support for a farmer or baker and receiving vegetables or baked goods in return. Strictly Internet-based exchanges are common as well, for example exchanging content creation for research.

Debts in the wir currency, assigned the same value as the Swiss franc, could be paid with sales to any member of the bartering circle: if a baker needed to “purchase” eggs and flour from a farmer, the baker could pay off the debt by “selling” baked goods to another wir member. The farmer, in turn, could use his newly acquired credit to “buy” his own needed items or services. Despite a bank-led campaign to discredit the system, wir stuck. Today, it has more than 60,000 business participants and does the equivalent of about $4.4 billion in annual trade.
As Orlove noted, barter may occur in commercial economies, usually during periods of monetary crisis. During such a crisis, currency may be in short supply, or highly devalued through hyperinflation. In such cases, money ceases to be the universal medium of exchange or standard of value. Money may be in such short supply that it becomes an item of barter itself rather than the means of exchange. Barter may also occur when people cannot afford to keep money (as when hyperinflation quickly devalues it).[14] 

No, said Mises, for if taken back far enough, there comes a point at which money first emerges as a medium of exchange out of a pure barter economy Prior to this, it is valued only for its non-monetary uses as a commodity The demand for money is therefore pushed back to the last day of barter, where goods are traded only in direct exchange, and where the temporal element of the regression theorem ends It is in this way that all charges of circularity are obviated.
An alternate currency, denominated in labour time, would prevent profit taking by middlemen; all goods exchanged would be priced only in terms of the amount of labour that went into them as expressed in the maxim 'Cost the limit of price'. It became the basis of exchanges in London, and in America, where the idea was implemented at the New Harmony communal settlement by Josiah Warren in 1826, and in his Cincinnati 'Time store' in 1827. Warren ideas were adopted by other Owenites and currency reformers, even though the labour exchanges were relatively short lived.[17]
Other anthropologists have questioned whether barter is typically between "total" strangers, a form of barter known as "silent trade". Silent trade, also called silent barter, dumb barter ("dumb" here used in its old meaning of "mute"), or depot trade, is a method by which traders who cannot speak each other's language can trade without talking. However, Benjamin Orlove has shown that while barter occurs through "silent trade" (between strangers), it also occurs in commercial markets as well. "Because barter is a difficult way of conducting trade, it will occur only where there are strong institutional constraints on the use of money or where the barter symbolically denotes a special social relationship and is used in well-defined conditions. To sum up, multipurpose money in markets is like lubrication for machines - necessary for the most efficient function, but not necessary for the existence of the market itself."[12]
Bartering is the process of obtaining goods or services by direct exchange without the use of currency. In times of economic instability or currency devaluation, it can be a great way to ensure the flow of necessary items and services into your household without using precious funds. Historically, face-to-face exchanges between familiar parties were most common, but the Internet has opened up a new medium for bartering opportunities for both person-to-person exchanges and third-party facilitated transactions.
The whole point of barter is to satisfy a need. A valuable barter is whatever a barterer needs at that moment. Raj Dhiman, a 30-year-old chemist, joined Swapsity at the beginning of 2012. For his first barter, he traded a batch of home-baked gluten-free muffins in return for a full weekend first aid course. Unlike the course’s instructor, Dhiman relished the challenge of perfecting the recipe. Since then, he’s exchanged a lesson on how to create a website for an Indian cooking class. He’s also turned away barter offers that he didn’t find personal value in. “It’s perfectly fine to decline,” he says, “It wasn’t like, ‘Whoa, whoa, whoa. What is this person thinking?’ I’d say, ‘I appreciate the offer, but that’s not what I need right now.’ All you have to do is ask for what you need.”
Michael Linton originated the term "local exchange trading system" (LETS) in 1983 and for a time ran the Comox Valley LETSystems in Courtenay, British Columbia.[26] LETS networks use interest-free local credit so direct swaps do not need to be made. For instance, a member may earn credit by doing childcare for one person and spend it later on carpentry with another person in the same network. In LETS, unlike other local currencies, no scrip is issued, but rather transactions are recorded in a central location open to all members. As credit is issued by the network members, for the benefit of the members themselves, LETS are considered mutual credit systems.
Since the 1830s, direct barter in western market economies has been aided by exchanges which frequently utilize alternative currencies based on the labor theory of value, and designed to prevent profit taking by intermediators. Examples include the Owenite socialists, the Cincinnati Time store, and more recently Ithaca HOURS (Time banking) and the LETS system.
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Barter Network is operated by experienced, Certified Trade Brokers who know how to make barter work for business. Find out how we can help your business achieve faster growth, increased profitability and improved owner lifestyle - call us today or inquire online for more information! Let us show you how barter can work for your business or organization.

Barter Network Ltd. is a proud member of The International Reciprocal Trade Association, IRTA, which is a non-profit organization committed to promoting just and equitable standards of practice and operation within the Modern Trade and Barter and other Alternative Capital Systems Industry, by raising the awareness and value of these processes to the entire Global Community. IRTA provide all Industry Members with an ethnically based global organization, dedicated to the advancement of Modern Trade and Barter and other Alternative Capital Systems, through the use of education, self-regulation, high standards and government relations. The Board of IRTA consists of Key Players in the Barter Industry, With Patti Falus President of Barter Network Ltd. being the only Canadian who sits on the Board.
Economic historian Karl Polanyi has argued that where barter is widespread, and cash supplies limited, barter is aided by the use of credit, brokerage, and money as a unit of account (i.e. used to price items). All of these strategies are found in ancient economies including Ptolemaic Egypt. They are also the basis for more recent barter exchange systems.[15]
Nowinska says one of the biggest challenges Swapsity faces is that new barterers think they have nothing to offer. So they offer bad trades. Yet most people have hundreds of skills—from cooking to networking to scrapbooking. The trick is learning to recognize the value of your skills, your knowledge and your talent. Bartering attaches value to things that are not always recognized, or highly valued, in a cash economy—often hobbies that people can’t make a living on but love to do. One Barter Babe trades her homemade canned goods for gifts—mostly other crafted items—she can give away at Christmas. A Swapsity member has traded pounds of fiddleheads she picks at her mom’s house in the country for feng shui sessions.
Within the week, Simmons gave notice to her employer. By then, she’d been pining to leave for eight months and had diligently saved for the occasion. Her plan now was to barter her financial services with other women for one year. That would be enough time, she figured, to get the altruism out of her system, but not so much that she’d go broke. She would use $10,000 in savings to pay her cellphone bill and to parcel out $35 in emergency spending each week if and when bartering fell through on the basic necessities. That money would also help pay for most of the rent at the Dovercourt and Queen apartment she shared with her boyfriend, Matt, who was in the midst of changing careers. Everything else—food, clothing, haircuts, fitness, entertainment and transportation around the city—she would acquire through barter. Simmons figured she’d need to barter with 300 women to make it work. She gave the project a catchy name, Barter Babes, and started organizing a launch party.
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