WHEN KARIM WEBB GOES TO CLOSE his next real estate deal, he'll try to lock in a mortgage rate as
early as possible.
In addition, the currency component expanded at about the same rate as
the M1 total, spurred by considerable demands from abroad.
The Revenue Reconciliation Act of 1993 (RRA) increased individual tax rates by creating a fourth bracket of 36% on taxable income in excess of $140,000 for married filing jointly, or in excess of $115,000 for singles.(2) In addition, there is a 10% surtax on taxable income in excess of $250,000.(3) This surtax results in a marginal tax rate as
high as 39.6% on taxable income in excess of $250,000.
if that gap were to continue to close at the same rate as
over the 1976-88 period and if the proportion of women participating in the labor force were to continue to rise at the same rate as
during the 1980s, growth in the female labor force participation rate would remain at the 1980-90 average of 1112 percentage points per year for another decade.
Manufacturing employment has continued to shrink this year at about the same rate as
in the second half of 1989, and construction payrolls also have declined since the winter.
These reasons are by no means mutually exclusive, of course; those who raise new funds may be motivated by an opportunity to lower the interest rate as
From May to December, M1 rebounded at a 4 percent rate as
the cumulating effects of falling interest rates and post-tax-payment rebuilding boosted demands for this aggregate.
One consequence of this confluence of international factors has been increasing attention to the exchange rate as
an influence on prices and output and as a channel through which various forces, including monetary policy, affect the economy.
Thus, a significant number of those who use credit cards as a borrowing device may have balances small enough to render the interest rate a
secondary consideration in deciding which cards to hold.