A decision to buy an asset implies a simultaneous decision to forego:
A)future consumption.
B)less consumption.
C)current consumption.
D)none of the given options.

Question

Quizplus · Accepted Answer

When you buy an asset, it typically requires a payment or investment upfront, which means that you will have to forego current consumption to make that payment or investment. This is because the money that you spend on the asset could have been used for other purposes, such as buying goods or services for immediate consumption. By choosing to buy the asset, you are choosing to allocate your resources towards a long-term investment rather than immediate consumption.

A Decision to Buy an Asset Implies a Simultaneous Decision