Mention the differences between Personal Income and Personal Disposable Income.

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Solution

Personal income is the income actually received by the households from all sources in the form of current transfer payments and factor income.
On the other hand, personal disposable income is the personal income remaining with individuals after paying direct personal taxes like income tax and house tax and other fees and fines to the government administrative departments.

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$\begin{matrix} (Rs in Crores) (i) & Personal tax & 80 (ii) & Private final consumption expenditure & 600 (iii) & Undistributed profits & 30 (iv) & Private income & 650 (v) & Government final consumption expenditure & 100 (vi) & Corporate tax & 50 (vii) & Net domestic fixed capital formation & 70 (viii) & Net indirect tax & 60 (ix) & Depreciation & 14 (x) & Change in stocks & (-) 10 (xi) & Net imports & 20 (xii) & Net factor income to abroad & 10 \end{matrix}$

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