Say you have the ability to produce a good, we’ll call it X.
Say you want a good, Y.
Now here’s where the scenarios split.
Say the person who makes Y wants X. You give them X and get Y. Everybody wins.
Now, in a more complicated scenario, maybe the person who produces Y wants Z, and the producer of Z wants X. Still everyone can be happy if you trade your X for Z and trade that Z for Y, and this could go on to become infinitely more complicated.
Okay, scenario 2: you want Y, so you mass produce X expending your time and resources to obtain money (which is continuously depreciating in value) with which you can trade for Y.
The advantage of the latter is that everyone wants this money, so you don’t have to go through the trading loop of a bartering system. This, however, is no longer a necessity. Through the internet, we could almost instantly find anyone who wants our X for their Y, so there really is no advantage to money. It was useful before the internet, when trading meant physically exchanging your item to the person with whom you’re trading, but as that’s no longer an issue, what is stopping us from switching back to a bartering system?
