To lose weight you need to have caloric deficit. There are two ways how you can do that. One is to decrease the amount of calories you consume (eat less). The other is to increase the amount of calories you burn (exercise more). Increasing the amount of calories you burn is much more beneficial for several reasons.
Exercise increases your metabolism.
Exercise creates a caloric deficit without triggering starvation mode.
Exercise helps you sleep better and manage stress better.
Exercise (strength training) tells your body to keep the muscle. Dieting causes muscle loss.
Exercise increases bone density.
Exercise helps prevent diabetes, control blood sugar, and improve insulin sensitivity.
Exercise improves cardiovascular health.
Exercise improves mood, helps relieve depression and increases self esteem
Exercise increases mobility and quality of life as you get older
Exercise helps you keep the weight off long term.
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If we don't use our bodies and are inactive, then our bodies will break down. We are over weight and unhealthy mostly because we are inactive. Cardiovascular exercise + weight training + a small calorie reduction is vastly superior for fat loss purposes than a calorie reduction alone. Calorie restriction alone is incomplete and it takes changes in your lifestyle and habits, to make permanent changes. Healthy and physically able should do at least 3 days per week of vigorous cardiovascular exercise (jogging, brisk walking, treadmills, stair climbers, ellipticals, aerobics classes, etc), and they may increase their exercise frequency, intensity and or duration if necessary, to accelerate fat loss.