Question

Jerry has $50,000 in his savings account and the average new car price is $23,000. does jerry have a demand for a new car? question 3 options: not necessarily. jerry has the ability to buy a new car, but we don't know if he also has the willingness to buy a new car. none of the answers are correct yes, since jerry's savings is more than double the average new car price. yes, since jerry can afford a new car.

Answer 1

The answer is ‘not necessarily. Jerry has the ability to buy a new car, but we don't know if he also has the willingness to buy a new car.’ Because willingness goes hand in hand with this scenario. Many people has the ability to buy things since they have the money for it but unfortunately, the lack the willingness to buy something can affect this scenario. If he lacks willingness, he won't able to buy the new car. The question here is, is he willing to buy the car?