How is "frugal living" best defined?

Frugal living is best defined as a lifestyle that emphasizes minimizing expenses while maximizing savings. This approach involves making intentional choices about spending in order to conserve resources and prioritize financial stability. Frugality is not simply about being cheap; rather, it reflects a broader philosophy of valuing experiences and necessities over material possessions. By focusing on reducing unnecessary expenditures, individuals practicing frugal living can more easily achieve their financial goals, such as building savings, paying off debt, or investing for the future.

The other options describe concepts that are inconsistent with the principles of frugal living. Lavish spending contradicts the essence of being frugal, while encouraging financial risks does not align with the cautious approach that frugal living advocates. Additionally, characterizing frugal living as a temporary financial strategy during emergencies limits its broader application as a sustainable lifestyle choice.