What is an interest?

Question

A.
a behavioral quality

B.
knowledge of a topic

C.
a desire to learn more

D.
money earned at a job

Answer 1

None of the options provided match the definition of an interest in economics. In economics, interest refers to the cost of borrowing money or the return on investment for lending money or investing in an asset. It represents the price that borrowers are willing to pay for the use of someone else's funds, and the compensation that lenders or investors receive for deferring consumption and taking on risk.