ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -Savings is setting money aside for use at a later time. Investing is using a resource (usually money) with the expectation that it will generate increased income or grow in value. Think about why savings could be important in your life. Putting aside money for future use can help you meet life goals.

Detailed explanation-2: -Investment-Setting aside money for future income, benefit, or profit to meet long-term goal; using savings to earn a financial return.

Detailed explanation-3: -You can lead a stress-free life with the knowledge that you will not have to struggle if things take an unexpected route. It gives you a better future: Your savings can be the answer to a number of your goals. You can buy a house, accumulate funds for your retirement, or purchase a vehicle.

Detailed explanation-4: -Saving provides a financial “backstop” for life’s uncertainties and increases feelings of security and peace of mind. Once an adequate emergency fund is established, savings can also provide the “seed money” for higher-yielding investments such as stocks, bonds, and mutual funds.

Detailed explanation-5: -Make a Budget. Understand the Concept of Cash Flow. Work With Your Partner. Distinguish Between “Want” and “Need” Make It Automatic. Do a Review. Look for Places to Cut. More items