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Monday, February 15, 2010

Needs and Wants

In financial education, the consumer has to distinguish between Needs and Wants.

Needs are those that have to be met. They are compulsory and cannot be avoided. Wants are those that are discretionary.

Needs - to pay tax, school fees, to have meals, transport.
Wants - toys, entertainment.

What do you consider to be Needs and what are Wants? Do you have any interesting story to tell about real life experiences?

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