Unit 2 notes: 02/01/16

Budget- government purchases of goods and services + government transferred payments + government tax and fee collections 
if + number, then deficit
if - number, then surplus 

Trade- exports- imports 
if + number, then surplus 
if - number, then deficit 

National income has two methods of calculation.

1. NI= compensation of employees + rental income + interest income + corporate profits + proprietors income
2. NI= GDP - indirect business taxes - depreciation - net foreign factor payment 

Disposable Personal Income (DPI)= national income - personal household taxes + transferred government payments