CEFR C1

money economy

noun phrase

Meaning

An economic system where goods and services are exchanged using a medium of exchange (like currency) rather than through direct barter of goods and services. This system allows for more complex transactions and specialization.

Examples

  • The shift from a barter system to a money economy allowed for greater economic growth and trade.
  • Most modern nations operate within a complex money economy, relying on banks and digital transactions.

Synonyms: monetary system, cash economy, market economy