The amount of money a household can spend during a given time period without increasing or decreasing its net worth is called ________ income.

Question

Quizplus · Accepted Answer

Economic income refers to the total amount of money a household has available to spend during a period without increasing or decreasing its net worth. This takes into account all sources of income, including wages, salaries, investments, and government benefits, and subtracts any taxes paid or other expenses incurred. Money income only refers to a household's total income before taxes, while after-tax income is the amount remaining after taxes have been paid. Property income refers specifically to income received from property ownership, such as rent or dividends, and does not necessarily reflect a household's overall financial situation.

The Amount of Money a Household Can Spend During a Given