What term describes investing resources today to gain in the future?

• A. Saving
• B. Investment
• C. Speculation
• D. Consumption

Answer: (B)

Investing resources today to gain in the future is investment. The idea is to put money, time, or other resources into something that will generate additional resources or benefits later—like buying equipment to raise production, funding education to earn higher wages, or starting a business. Saving, by contrast, is simply setting aside money for future use without necessarily putting it into productive assets. Consumption means using resources now for immediate satisfaction. Speculation involves taking on higher-risk bets for potentially large gains, rather than the standard goal of steady future returns from productive use of resources.