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Outlay Way
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<h1>
Outlay Way
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Outlay, the way in which the recipients of income in a country as a whole or in a given sector dispose of their (pre-tax) income. It can be shown in an outlay table or account, usually called an 'appropriation account' in the case of companies and public enterprises. Outlay or appropriation accounts may thus be drawn up for all the sectors of an economy, and in theory there is an appropriation account for each income-receiving individual. For example, each individual in the course of a year must dispose of his income in four main ways: he can spend part of it on goods and services for current consumption, he can pay part of it to the state as taxation, he can transfer part of it (e.g. in gifts to friends), and he can save the remainder of it, probably for future consumption. Thus there corresponds to the sum total of the incomes of all private individuals before tax (personal income before tax) a total for personal outlay comprising personal consumption, tax payments and saving, but not transfers because in the total account of all personal incomes and outlays transfers between persons would appear equally as payments and receipts and are thus canceled out.<br /><br />In the case of companies, the appropriation account shows the outlay as distributed to the shareholders, the debt-holders or, in the form of taxes, to the Government. What remains, undistributed profit, is classed as company saving. Similarly an outlay or appropriation account may be constructed for public corporations, where outlay is upon interest payment and additions to interest reserves, taxes on income and additions to tax reserves, and undistributed income. Finally, an outlay account may be constructed for the combined public authorities (central and local government ); here the bulk of the outlay consists of current expenditure either on goods and services or on transfer payments, the latter going chiefly to individuals as pensions, family allowances, etc.<br /><br />For the U.K., income and expenditure accounts are presented for all the domestic sectors (public authorities, corporate enterprises and persons) in the annual H.M.S.O. Blue consumeraffairs.org.uk
, National Income and Expenditure. For corporate enterprises, specific appropriation accounts are compiled. For the public authority and personal sectors, figures for income and expenditure constitute an account of outlay when allowance is made for the difference between total current income or revenue and total current outgoings. <br /><br />
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<h2>
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<p>Since then his writings have in turn been increasingly reinterpreted as a special case both by some followers and by some economists who had not wholly accepted his writings. The content of economics is in a state of change, and this consumeraffairs.org.uk
site is therefore not a final statement of economic doctrine.<br /><br /><strong>Economics</strong> is in the last resort a technique of thinking. The reader will therefore need to make an intellectual effort, more substantial for some web entries than for others, to get the most interest and value out of this website.<br />
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