Disposable Income Is the Income That Households

Multiple Choice

Disposable income is the income that households

A) save for entertainment purposes and vacations.
B) receive in wages, dividends, and interest payments minus taxes they pay to the government and minus mortgage payments.
C) have available for saving, once the necessary living expenses have been subtracted from the wages, dividends, and interest payments they receive.
D) receive in wages, dividends, and interest payments plus transfers they may receive from the government minus any taxes they pay to the government.
E) None of these