can disposable income be spent and lent

Yes, disposable income can indeed be spent and lent. Disposable income is the amount of money that an individual or household has to spend or save after income taxes have been deducted. It's essentially the net income available to an individual for either spending on goods and services or saving. There are several options for what can be done with disposable income:

1. Spending: Individuals can use their disposable income to purchase goods and services, which contributes to their daily living expenses such as food, clothing, housing, entertainment, and travel.

2. Saving: Disposable income can also be saved in various forms, such as in a savings account, a retirement account like an IRA or 401(k), or other investment vehicles. Saving money can help build wealth over time and provide financial security.

3. Lending: Additionally, individuals can choose to lend their disposable income to others. This can be done formally through financial institutions (by depositing money in the bank, the bank then lends it out to borrowers) or peer-to-peer lending platforms, or informally by giving out personal loans to friends or family members. When lending money, individuals often expect to earn interest from the borrower, which is a way to grow their disposable income over time.

The way that an individual decides to use their disposable income can have a significant impact on their financial well-being as well as on the economy at large. Spending stimulates demand for goods and services, leading to economic growth, while saving and lending can help build capital that can be used for investment purposes, also contributing to economic development.