When a person invests income, they typically use money in a way that will increase its value in the future.
What happens when peopke use money
Investing involves allocating funds into assets or ventures with the aim of generating potential returns or growth over time.
This approach differs from immediate spending on essential needs or discretionary expenses. By investing, individuals aim to preserve or enhance the value of their money over the long term rather than spending it immediately.
Hence investment is an attempt at increasing the value that money has in the future
Question
When a person invests income, he or she:
spends no money in the short term and saves it all for the long term.
uses money in a way that will increase its value in the future.
spends income only on essential needs such as housing.
cuts out all discretion