E) Equal To … Personal income = National Income - Corporate earnings + transfer payments or interest on Government bonds. 11670-1500+600=10770 c. Disposable income = Personal income - personal tax payments. Disposable personal income e is the income available to persons for spending or saving. Disposable income is sometimes referred to as disposable personal income, net pay or take-home pay. asked Jan 24 in Criminal Justice by Carla. d) Disposable income It is equal to difference between personal income and personal income taxes. The production of a given value of goods and services generates an equal value of total income. Question: Disposable Income Is A) Equal To National Income. Study Guides. B) personal income plus transfer payments. It is equal to personal income less personal current taxes. Personal consumption expenditures (PCE) is the value of the goods and services purchased by, or on the behalf of, “persons” who reside in the United States. A) national income minus personal income taxes. A) income minus taxes. We saw in the last section that the production of goods and services generates factor incomes to households. Get the detailed answer: Disposable personal income is equal to _____. Your dashboard and recommendations. Switch to. Disposable income is equal to. In national accounts definitions, personal income minus personal current taxes equals disposable personal income. Disposable income is total personal income minus personal current taxes. D) consumption plus government purchases minus taxes. Personalized courses, with or without credits. a. Homework Help. If you want to be a better budgeter, you'll need to brush up on some budgeting terms. Booster Classes. 3.7 million tough questions answered. It also is the foundation of your budget -- the starting point for how you decide to spend your money. It's an important economic indicator for the country. If the MPC in an economy equals 0.8, and disposable income falls by $100, consumption spending will fall by. C) personal income minus personal income tax payments. Disposable Personal Income (DI): There are other personal taxes which are not considered when calculating personal income. Subtracting personal outlays (which includes the major category of personal (or, private) consumption expenditure) yields personal (pr, private) savings. Disposable personal income is equal to. D) Gross Domestic Product (GDP) minus depreciation. E) consumption plus saving minus taxes. Sum of spending and saving of households is equal to this amount. 10770-1250=9520 Even still, the concept of disposable income is extremely useful for budgeting, as well as in economic analysis and government policy creation. Define disposable personal income and explain how to calculate it from GDP. 2. A) $8.00. Individual situations may mean that, practically speaking, your disposable income is more or less than that amount, though. DI = PI - Personal Income Taxes Disposable personal income represents what people actually have that they can spend. D) The Sum Of All Payments To Suppliers Of The Factors Of Production. National Income (NI) = Gross National Product (GNP) - Depreciation - Indirect business tax 13100-1400-30=11670 b. C) income plus saving minus taxes. C) That Portion Of Personal Income That Can Be Used For Consumption And Saving. The key difference between personal income and personal disposable income is that personal income refers to an individual’s total earnings in the form of wages, salaries and other investments whereas personal disposable income refers to the amount of net income available to an individual to spend, invest and save after income taxes are paid. B) Another Term For Personal Income. Home. Ace your next exam with ease. B) income plus taxes. 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