Factor Incomes vs. Personal Incomes

It is important to understand the distinction between factor incomes and personal incomes. Table 12-1 reports the distribution of factor incomes-the division between labor and property incomes. But the same person may own many different factors of production. For example, someone might receive a salary, earn interest on money in a savings account, get dividends
from shares in a mutual fund, and collect rent on a real-estate investment. In economic language,

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