Referring to Table 2-2, How Many Total Claims Are Represented
Personal income taxes are the difference between
A) national income and personal income.
B) personal income and disposable personal income.
C) national income and disposable personal income.
D) net domestic product and personal income.
National income is $500, corporate taxes are $20, Social Security contributions are $60, retained earnings are $10, personal taxes are $100, and transfer payments are $80. Disposable income is
An increase in corporate income taxes would reduce
A) net domestic product.
B) gross domestic product.
C) national income.
D) personal income.
Suppose Social Security contributions rise by $10 billion while Social Security benefits also rise by $10 billion. Further, personal income taxes fall by $700 million. As a result
A) both personal and disposable personal income should increase.
B) national income, personal income, and disposable income should increase.
C) disposable income should increase while personal income and national income are unchanged.
D) personal income, disposable personal income, and national income remain unchanged.