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DI: The abbreviation for disposable income,which is the total income that can be used by the household sector for either consumption or saving during a given period of time, usually one year. This is the income left over after income taxes and social security taxes are removed and government transfer payments, like welfare, social security benefits, or unemployment compensation are added. Because consumption and saving are important to our economy for short-run stability and long-run growth, pointy-headed economists like to keep a close eye on disposable personal income. Disposable income is reported quarterly (every three months) in the National Income and Product Accounts maintained by the Bureau of Economic Analysis.

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AVERAGE PROPENSITY TO SAVE

The proportion of household income that is used for saving. The average propensity to save (abbreviated APS) is really nothing more than average saving. Together with the average propensity to consume, it indicates how a given level of income is divided between consumption and saving. A related saving measure is the marginal propensity to save.

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Francis Bacon (1561-1626), a champion of the scientific method, died when he caught a severe cold while attempting to preserve a chicken by filling it with snow.
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