The Barter Production Economy A barter economy has only real assets. Buyers and sellers exchange real assets for real assets.
Real assets have intrinsic value.
They have value in exchange as well as value in use. A barter economy has NO money and NO financial assets. However, tying up real saving in real investment is extremely risky. Any capital formation that does succeed generally comes from the owner. Because saving must precede investment, the whole process is tedious and time-consuming.