earnings n
1. the excess of revenues over outlays in a given period of time (including depreciation and other non-cash expenses) [syn: net income, net, net profit, lucre, profit, profits]
2. something that remunerates; "wages were paid by check"; "he wasted his pay on drink"; "they saved a quarter of all their earnings" [syn: wage, pay, remuneration, salary]

Earning \Earn"ing\, n.; pl. Earnings. That which is earned; wages gained by work or services; money earned; -- used commonly in the plural. As to the common people, their stock is in their persons and in their earnings. --Burke.

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Income is the consumption and savings opportunity gained by an entity within a specified time frame, which is generally expressed in monetary terms.

In economics, factor income is the flow (that is, measured per unit of time) of revenue accruing to a person or nation from labor services and from ownership of land and capital.

In consumer theory 'income' is another name for the "budget constraint," an amount Y to be spent on different goods x and y in quantities x and y at prices Px and Py. The basic equation for this is

This equation implies two things. First buying one more unit of good x implies buying less units of good y. So, is the relative price of a unit of x as to the number of units given up in y. Second, if the price of x falls for a fixed Y, then its relative price falls. The usual hypothesis is that the quantity demanded of x would increase at the lower price, the law of demand. The generalization to more than two goods consists of modelling y as a composite good.

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