Needs vs Wants

How to classify our needs?

Housing

• Needs

• Wants

Basic income

• Needs

• Wants

Starbucks

• Needs

• Wants

What is the definition of a want?

• Something you would like too have but will be okay without it.

• Something you truly can't live without.

Food

• Needs

• Wants

Clothes

• Needs

• Wants

What is the primary difference between needs and wants?

• Needs are essential for survival, wants are not.

• Wants are essential for survival, needs are not.

• Needs and wants are both essential for survival.

• There is no difference between needs and wants.

Which of the following is an example of a need?

• A new smartphone

• A vacation

• Clean water

• Designer clothes

Why is it important to distinguish between needs and wants in budgeting?

• To ensure all wants are fulfilled first

• To prioritize spending on needs to maintain basic living standards

• To spend more on luxury items

• To avoid spending on needs