What is one major drawback of using cash as a medium of exchange?

One major drawback of using cash as a medium of exchange is its potential difficulty in transporting significant amounts. When large sums of cash need to be moved, it can become impractical and risky due to the physical weight and volume of the currency, as well as concerns about theft and loss. Carrying large amounts of cash also presents safety issues, as it makes individuals or businesses vulnerable to robbery or other forms of theft.

In contrast, other forms of payment, such as digital transactions or bank transfers, allow for the quick and secure exchange of funds without the need for transporting physical currency. This efficiency is especially important in modern commerce, where swift and secure financial transactions are paramount.

Considering the other options, while cash may not be accepted everywhere (as seen in some businesses favoring credit or digital payments), it does have a universal recognition in many regions, particularly in day-to-day transactions. Additionally, cash is indeed a tangible form, contrary to the assertion that it lacks tangible properties, and while it may have little intrinsic value in terms of the paper or metal used, it operates effectively as a medium of exchange due to societal trust and economic systems in place.