ESSAY ON RHYTHM DECISION MAKING Problem I have been given 1,500 to spend on everything I want or need. The problem is that I have never had this amount of money to use before. I'm confused whether I should save, spend or invest the money. I have not had first-hand experience investing and saving money. I want my money to be put to good use, but now I need to figure out which alternative is best for me. Alternatives Saving My first alternative is to save. I have more choices about how I want to save my money. I can bank it in different types of savings accounts, even use my personal safe and save by reducing my money in certain areas. I will have more money to use when I need it for emergencies. This means I can put my money in an emergency account and use it when I need it. I will also earn interest by working overtime. I can also use CDs which give me the opportunity to invest and reinvest my money to earn more. This way my money will grow faster. Investing My second alternative is investing. I can put my money in a bond and the company will use my money and in return pay me back with interest. I can also put it on the stock exchange and decide with the shareholders how we want the money to be spent. Eventually, if the company flourishes, I will get a share of the company. A mutual fund would be a combination of a stock account and a bond. I can also put my money in a mutual fund and watch the investment grow. Furthermore, if the company I am investing in grows there will be more money for them and for me. The company will also acquire more employees, which will reduce the unemployment rate and help the stock market and the economy. Spending My last alternative is to spend. I can spend my money multiple times… middle of paper… depending on the type of savings account I have and my bank. I chose to save rather than invest because there is a risk in investing, if the company or whatever I am investing in doesn't work out, I can lose a significant amount of money and can't use it right away until the interest increases or l The company is growing. With spending it feeds my personal needs but does not benefit me in an intelligent way. I can buy luxury goods, I can't use it in an emergency if I spend it all, but I can use it now. Furthermore, there is no growth involved in its expense. Saving is the best alternative for me and the economy is safe and secure. I earn more by saving than I could spend and invest. Plus, by bailing out the bank is able to lend the money people need, and then give me more back in return. This will benefit businesses and grow the economy. The overall savings is how I would spend my $1,500.