Investment refers to the allocation of resources, usually money, into assets or projects with the expectation of generating a return over time. This can include purchasing stocks, real estate, or starting a business. Investment is crucial for economic growth as it helps create jobs and increase productivity. Consumption, on the other hand, is the use of goods and services by individuals or households. It reflects the demand side of the economy and drives production. When people spend money on items like food, clothing, and entertainment, it stimulates economic activity and can influence investment decisions by businesses.