Back to Barter

So I went to the bank
To see what they could do
They said, son, look like bad luck
Got a hold on you
--Simply Red

One of the larger problems facing people in Greece is lack of money in the face of capital controls that restrict borrowing and discourage lending. Less cash is available to fund transactions.

Consequently, Greek citizens are resorting to barter, a practice perfected by their ancestors when dealing with Mediterranean trading partners.

An interesting development is the rise of website that facilitate barter such as tradenow (Greek version here). Modern technology enables more liquid barter exchange.

Hard not to wonder whether this practice might catch on as people get used to cashless exchange. It reduces reliance on modern currencies caught in the vise grip of government. It also is harder for government to track and, ultimately, tax.

It would also likely renew interest in gold as a more reliable and effective medium of exchange.

position in gold