The following table indicates that the national income is $6,000. Mouseover here for the revenue and expenses of the bread sector’s table. Mouseover here for the revenue and expenses of the shoe sector’s table.
Total national income ($6,000) consists of $1,400 in workers’ wages and $4,600 in owners’ profits. All of the country’s production comes from either workers’ labor (their wages) or the firm owners’ efforts and capital investment (the firm’s profits).
Table 4.4
|
|
Bread sector |
Shoe sector |
Total |
|
Wages |
$700 |
$700 |
$1,400 |
|
Profits |
$2300 |
$2300 |
$4,600 |
|
Total |
$3,000 |
$3000 |
$6,000 |
