I have a site with good PR and my inside pages are getting increase of PR, but they don't have links pointing to them, only from my homepage.

Does that means that Google counts ALL links on my homepage, including links to inside pages? Does it calculate inside pages PR with one coming from my domain, my homepage, too?

Also, if inside pages that got high PR from homepage have link back to homepage, will that increase homepage PR additionally, since those links should count too?

By Google PR algorithm formula, by calculations on Wikipedia and Stanford PR algorithm explanation ( which is originally developed by ) it counts those links, and also it counts after-increase backlink again, making few times circle ( it stops because of d ( 0.85 ) factor. ), but it counts them.

Does anyone know is this correct?