Buying on credit results in payments later and a reduction in the amount of future income available for spending is an example of a(n):

Question

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Buying on credit means that you are choosing to spend future income now, which is the essence of opportunity cost—the cost of the next best alternative foregone, in this case, the future income that could have been used for other expenditures or savings.

Buying on Credit Results in Payments Later and a Reduction