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What determines the magnitude of circular flow of income and expenditures?
Wiki User
∙ 8y ago
Aggregate demand
Wiki User
∙ 11y ago
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What is a statement that most accurately describes the relationship between incomes and expenditures in the circular flow of economic activities?
The flows of income and expenditures are about equal.
The excess of income over expenditures is called?
The excess of income over expenditures is known as Savings. S= Y(d)-C Where; S= Savings Y(d)= Disposable Income C= Consumption Expenditures
What is induced investment?
Business investment expenditures that depend on income or production (especially national income or gross national product). An increase in national income triggers an increase in induced investment expenditures.
What are the leakages out of the circular flow of income and output?
The leakage is income received by consumers but not returned to the firms. There are main 3 leakages: savings of consumers ( when consumers save money in banks for using them in the future); imports (when consumers buy products produced by the foreign country, the potential income flows out of the economy's circular flow; thus, this expenditures do not return to the firms);taxes (so that government can pay for health care and education).
Why an economy's income must equal its expenditures?
Because every dollar of spending by a buyer is a dollar of income for a seller
What is a statement that most accurately describes the relationship between incomes and expenditures in the circular flow of economic activities?
The flows of income and expenditures are about equal.
Are tax payments deductible?
Estimated Income tax payments are not deductible in figuring out what your taxable income is, that determines how much your actual income tax is. See, that's circular.
The excess of income over expenditures is called?
The excess of income over expenditures is known as Savings. S= Y(d)-C Where; S= Savings Y(d)= Disposable Income C= Consumption Expenditures
How much will a trustee take out of your monthly income in a chapter 13 bankruptcy Is it a certain percentage?
It's your disposable income. The debtor files a statement of income and expenditures. The expenditures cannot be unreasonably high. The chapter 13 payment is the difference between the income and expenditures.
What is induced investment?
Business investment expenditures that depend on income or production (especially national income or gross national product). An increase in national income triggers an increase in induced investment expenditures.
What is the Percent of income breakdown on expenditures?
10 percent
What is required of Congress to publish a statement of all expenditures and income?
Reports of the living costs, non-priority debts, priority debts and income are required of the Congress to publish a statement of all expenditures and income.
What are the leakages out of the circular flow of income and output?
The leakage is income received by consumers but not returned to the firms. There are main 3 leakages: savings of consumers ( when consumers save money in banks for using them in the future); imports (when consumers buy products produced by the foreign country, the potential income flows out of the economy's circular flow; thus, this expenditures do not return to the firms);taxes (so that government can pay for health care and education).
What is the resulting figure when income is greater than expenditures?
Savings.
What is balanced budget?
A budget for which expenditures are equal to income. Sometimes a budget for which expenditures are less than income is also considered balanced. The concept is often discussed in reference to the federal government.
Congress is required to publish a statement of all expenditures and income?
True
What do you use to make sure your expenditures don't exceed your income?
ghs
