经济类课件汇集_Chapter 7 Personal Economics

Chapter 7 Personal economics

Chapter 7 Personal Economics

7.1 SOURSE OF INCOME IN MODERN ECONOMIES o Personal income ● by individuals ● per period o earning from selling the factors of production ● Components ●wage- personal labor o rent-use of capital infrastructure (land -classical e) o interest use of money profit -enterprise or entrepreneurship( use of a good idea or running a business)

7.1 SOURSE OF INCOME IN MODERN ECONOMIES ⚫ Personal income ⚫ by individuals ⚫ per period ⚫ earning from selling the factors of production ⚫ Components ⚫ wage – personal labor ⚫ rent – use of capital infrastructure (land – classical E) ⚫ interest – use of money ⚫ profit – enterprise or entrepreneurship (use of a good idea or running a business)

1 Investment Real investments o purchases of machinery or productive capacity and purchases of land and improvements Financial investments o return income to the owner oe.g. shares or equities, bonds or notes, deposits or loans

1. Investment ⚫ Real investments ⚫ purchases of machinery or productive capacity and purchases of land and improvements. ⚫ Financial investments ⚫ return income to the owner ⚫ e.g. shares or equities, bonds or notes, deposits or loans

2. Payment from investment ● interests o payments from bonds, notes, debentures bank deposits term loans dividends payments from shares dividend imputation o Capital gain/Capital loss o investors sell investments for more/less than they paid for them o Transaction costs: stamp duty, brokers' fees

2. Payment from investment ⚫ interests ⚫ payments from bonds, notes, debentures, bank deposits, term loans ⚫ dividends ⚫ payments from shares ⚫ dividend imputation ⚫ Capital gain/Capital loss ⚫ investors sell investments for more/less than they paid for them ⚫ Transaction costs: stamp duty, brokers’ fees…

Stamp duty Definition o a tax collected by means of stamp purchased and affixed ( as a deck of playing cards); specially, such a tax on a document (as a deed or promissory note) ● object e economic contracts property right transference statements account book license and other warrants qualified by the ministry of Finance axpayer contract makers account book makers credential makers

Stamp Duty ⚫ Definition ⚫ a tax collected by means of stamp purchased and affixed (as a deck of playing cards); specially, such a tax on a document (as a deed or promissory note) ⚫ Object ⚫ economic contracts ⚫ property right transference statements ⚫ account book ⚫ license and other warrants qualified by the Ministry of Finance ⚫ Taxpayer ⚫ contract makers ⚫ account book makers ⚫ credential makers

7.2 USE OF INCOMES Spend o durable goods: last at least 3 years, o E.g. cars, washing machines, refrigerators, furniture o Non-durable goods: immediately consumed or have a relatiⅳ vely short life E g. food, clothes, radio batteries Save e deposit into an account at a financial institution purchase of shares or units in a trust urchase of bond or debenture o deduction from pay that goes into a superannuation fund

7.2 USE OF INCOMES ⚫ Spend ⚫ Durable goods: last at least 3 years, ⚫ E.g. cars, washing machines, refrigerators, furniture… ⚫ Non-durable goods: immediately consumed or have a relatively short life ⚫ E.g. food, clothes, radio batteries… ⚫ Save ⚫ deposit into an account at a financial institution ⚫ purchase of shares or units in a trust ⚫ purchase of bond or debenture ⚫ deduction from pay that goes into a superannuation fund

7,3 PLASTIC CARDS, CYBERCASH AND THE INTERNET Credit card o allows its holder to make purchases without payment of cash immediately American Express Diners Club, Mastercard, visa Debit card e allows its holder to have access to his own funds at financial institution ● EFTPOS,ATM o Stored-value card(magnetic strip) o enables holder to use facilities without having cash or the correct change phone, photocopy transport card Smart card(computer chip) Ecash and CyberCoin

7.3 PLASTIC CARDS, CYBERCASH AND THE INTERNET ⚫ Credit card ⚫ allows its holder to make purchases without payment of cash immediately ⚫ American Express, Diners Club, Mastercard, Visa ⚫ Debit card ⚫ allows its holder to have access to his own funds at financial institution ⚫ EFTPOS, ATM ⚫ Stored-value card (magnetic strip) ⚫ enables holder to use facilities without having cash or the correct change. ⚫ phone, photocopy, transport card… ⚫ Smart card (computer chip) ⚫ Ecash and CyberCoin

74 DIFFERENT CONCEPTS OF INCOME Disposable income o people receive which they are able to make decisions about themselves, consume or save? Gross/Nominal income ● compulsory income tax ● Real income money income adjusted by the effects of change in the price level

7.4 DIFFERENT CONCEPTS OF INCOME ⚫ Disposable income ⚫ people receive which they are able to make decisions about themselves, consume or save? ⚫ Gross/Nominal income ⚫ compulsory income tax ⚫ Real income ⚫ money income adjusted by the effects of change in the price level

7.5 TAXATION COLLECTED 7.5.1 Purpose for Taxation o employ public servants to carry out government policies build necessary infrastructure for the economy to work well(roads, railways, ports) o pay the transfers to households and firms

7.5 TAXATION COLLECTED 7.5.1 Purpose for Taxation ⚫ employ public servants to carry out government policies; ⚫ build necessary infrastructure for the economy to work well (roads, railways, ports); ⚫ pay the transfers to households and firms

7.5.2 Australian Government Responsibility Federal Government o defence, veteran affairs, foreign affairs, immigration, social security With state Government providing law and order, communications of various kinds, employment services, education, environmental protection, health services, industrial relations tourism services regional development

7.5.2 Australian Government Responsibility ⚫ Federal Government ⚫ defence, veteran affairs, foreign affairs, immigration, social security ⚫ With State Government ⚫ providing law and order, communications of various kinds, employment services, education, environmental protection, health services, industrial relations, tourism services, regional development