Table 12-15
The components of national income for an economy are represented in Table 12-15 above.All values are in billions of dollars.
-Refer to Table 12-15.What is the level of disposable personal income for this economy?

Question

Table 12-15
  The components of national income for an economy are represented in Table 12-15 above.All values are in billions of dollars.
-Refer to Table 12-15.What is the level of disposable personal income for this economy?

Quizplus · Accepted Answer

Disposable personal income (DPI) is calculated by subtracting personal taxes from personal income. In the table, personal income is given as $1,200 billion and personal taxes are given as $220 billion, so DPI is $1,200 billion - $220 billion = $980 billion. Therefore, the correct answer is (C) $980 billion.

Table 12-15 the Components of National Income for an Economy