JAMB Economics 1990 Question 46

Question 46

National Income

Disposable income is an income which

  1. A.is available for consumption and savings
  2. B.pensioners receive from the government
  3. C.is payable to the disabled members of the community
  4. D.accrues to the environmental sanitation authorities for refuse disposal
Show the answer and explanation

Answer: A (is available for consumption and savings)

Explanation

Disposable income is what is left after direct taxes, and households either spend it or save it.