The average level of one's expected future income stream is
A) disposable income.
B) permanent income.
C) gross income.
D) taxable income.

Question

Quizplus · Accepted Answer

The average level of one's expected future income stream is referred to as permanent income. This is because it is believed to represent a more accurate measure of an individual's long-term income potential, rather than just their current income or temporary changes in income. Disposable income refers to the amount of income left after taxes and other mandatory deductions, while gross income represents an individual's total income before such deductions are made. Taxable income is the portion of income that is subject to tax.

The Average Level of One's Expected Future Income Stream Is