TABLE B–33.—Median money income (in 2003 dollars) and poverty status <strong>of</strong> families and persons,by race, selected years, 1989–2003YearNumber(millions)Medianmoneyincome(in2003dollars)2Families 1Number(millions)TotalBelow poverty levelPercentFemalehouseholderNumber(millions)250PercentPersonsbelowpoverty levelNumber(millions)PercentMedian money income (in 2003 dollars)<strong>of</strong> persons 15 years old and over withincome 2AllpersonsMalesYearroundfull-timeworkersAllpersonsFemalesYearroundfull-timeworkersALL RACES1989 ......................... 66.1 $49,014 6.8 10.3 3.5 32.2 31.5 12.8 $28,499 $40,714 $13,788 $28,1341990 ......................... 66.3 48,248 7.1 10.7 3.8 33.4 33.6 13.5 27,695 39,549 13,743 28,1021991 ......................... 67.2 47,336 7.7 11.5 4.2 35.6 35.7 14.2 26,960 39,949 13,798 27,9821992 3 ....................... 68.2 46,992 8.1 11.9 4.3 35.4 38.0 14.8 26,282 39,616 13,766 28,3871993 ......................... 68.5 46,333 8.4 12.3 4.4 35.6 39.3 15.1 26,454 38,959 13,848 28,1681994 ......................... 69.3 47,615 8.1 11.6 4.2 34.6 38.1 14.5 26,667 38,812 14,078 28,5641995 ......................... 69.6 48,679 7.5 10.8 4.1 32.4 36.4 13.8 27,044 38,596 14,540 28,5001996 ......................... 70.2 49,378 7.7 11.0 4.2 32.6 36.5 13.7 27,822 39,150 14,959 29,1071997 ......................... 70.9 50,938 7.3 10.3 4.0 31.6 35.6 13.3 28,815 40,286 15,661 29,7491998 ......................... 71.6 52,675 7.2 10.0 3.8 29.9 34.5 12.7 29,858 40,858 16,263 30,2671999 4 ....................... 73.2 53,901 6.8 9.3 3.6 27.8 32.8 11.9 30,127 41,339 16,893 30,2072000 5 ....................... 73.8 54,191 6.4 8.7 3.3 25.4 31.6 11.3 30,275 41,543 17,158 31,1092001 ......................... 74.3 53,421 6.8 9.2 3.5 26.4 32.9 11.7 30,241 41,708 17,265 31,6122002 ......................... 75.6 52,864 7.2 9.6 3.6 26.5 34.6 12.1 29,908 41,435 17,197 31,6802003 ......................... 76.2 52,680 7.6 10.0 3.9 28.0 35.9 12.5 29,931 41,503 17,259 31,653WHITE1989 ......................... 56.6 51,539 4.4 7.8 1.9 25.4 20.8 10.0 29,889 42,509 14,057 28,4681990 ......................... 56.8 50,380 4.6 8.1 2.0 26.8 22.3 10.7 28,892 41,053 14,080 28,4401991 ......................... 57.2 49,764 5.0 8.8 2.2 28.4 23.7 11.3 28,180 40,768 14,121 28,3901992 3 ....................... 57.7 49,687 5.3 9.1 2.2 28.5 25.3 11.9 27,504 40,558 14,086 28,7161993 ......................... 57.9 49,268 5.5 9.4 2.4 29.2 26.2 12.2 27,556 39,905 14,123 28,8071994 ......................... 58.4 50,196 5.3 9.1 2.3 29.0 25.4 11.7 27,832 39,829 14,279 29,3361995 ......................... 58.9 51,118 5.0 8.5 2.2 26.6 24.4 11.2 28,642 40,173 14,763 29,0841996 ......................... 58.9 52,245 5.1 8.6 2.3 27.3 24.7 11.2 29,123 40,554 15,130 29,6011997 ......................... 59.5 53,436 5.0 8.4 2.3 27.7 24.4 11.0 29,847 41,280 15,763 30,2531998 ......................... 60.1 55,251 4.8 8.0 2.1 24.9 23.5 10.5 31,158 41,922 16,474 30,7731999 4 ....................... 61.1 56,383 4.4 7.3 1.9 22.5 22.2 9.8 31,640 43,283 16,946 30,9072000 5 ....................... 61.3 56,645 4.3 7.1 1.8 21.2 21.6 9.5 31,829 42,998 17,175 31,9932001 ......................... 61.6 56,185 4.6 7.4 1.9 22.4 22.7 9.9 31,425 42,388 17,304 32,058Alone 62002 ......................... 62.3 55,885 4.9 7.8 2.0 22.6 23.5 10.2 31,079 42,323 17,224 32,1192003 ......................... 62.6 55,768 5.1 8.1 2.2 24.0 24.3 10.5 30,732 42,142 17,422 32,192Alone or incombination 62002 ......................... 63.0 55,696 5.0 7.9 2.1 22.6 24.1 10.3 31,011 42,263 17,190 32,1072003 ......................... 63.5 55,604 5.2 8.1 2.2 24.2 25.0 10.6 30,658 42,079 17,391 32,180BLACK1989 ......................... 7.5 28,952 2.1 27.8 1.5 46.5 9.3 30.7 18,064 29,661 11,282 25,6021990 ......................... 7.5 29,237 2.2 29.3 1.6 48.1 9.8 31.9 17,562 29,316 11,366 25,3081991 ......................... 7.7 28,381 2.3 30.4 1.8 51.2 10.2 32.7 17,072 29,804 11,612 25,2021992 3 ....................... 8.0 27,115 2.5 31.1 1.9 50.2 10.8 33.4 16,786 29,541 11,419 26,0291993 ......................... 8.0 27,006 2.5 31.3 1.9 49.9 10.9 33.1 18,309 29,543 11,919 25,4671994 ......................... 8.1 30,324 2.2 27.3 1.7 46.2 10.2 30.6 18,394 29,964 12,946 25,3261995 ......................... 8.1 31,129 2.1 26.4 1.7 45.1 9.9 29.3 19,186 29,724 13,138 25,2671996 ......................... 8.5 30,960 2.2 26.1 1.7 43.7 9.7 28.4 19,250 31,676 13,742 25,6691997 ......................... 8.4 32,690 2.0 23.6 1.6 39.8 9.1 26.5 20,682 30,741 14,913 26,0171998 ......................... 8.5 33,140 2.0 23.4 1.6 40.8 9.1 26.1 21,776 30,962 14,806 26,8961999 4 ....................... 8.7 35,157 1.9 21.8 1.5 39.2 8.4 23.6 22,563 33,285 16,310 27,7512000 5 ....................... 8.7 35,972 1.7 19.3 1.3 34.3 8.0 22.5 22,798 32,568 16,964 27,5062001 ......................... 8.8 34,914 1.8 20.7 1.4 35.2 8.1 22.7 22,307 33,172 16,920 28,366Alone 62002 ......................... 8.9 34,293 1.9 21.5 1.4 35.8 8.6 24.1 22,055 32,664 17,112 28,2582003 ......................... 8.9 34,369 2.0 22.3 1.5 36.9 8.8 24.4 21,986 33,429 16,581 27,622Alone or incombination 62002 ......................... 9.1 34,405 2.0 21.4 1.5 35.7 8.9 23.9 22,002 32,698 17,053 28,3382003 ......................... 9.1 34,607 2.0 22.1 1.5 36.8 9.1 24.3 21,935 33,464 16,540 27,6751The term ‘‘family’’ refers to a group <strong>of</strong> two or more persons related by birth, marriage, or adoption and residing toge<strong>the</strong>r. Every familymust include a reference person.2Current dollar median money income adjusted by CPI–U–RS.3Based on 1990 census adjusted population controls; comparable with succeeding years.4Reflects implementation <strong>of</strong> Census 2000-based population controls comparable with succeeding years.5Reflects household sample expansion.6Data are for white alone; for white alone or in combination; for black alone; and, for black alone or in combination. (Black is also Black orAfrican American.) Beginning with data for 2002 <strong>the</strong> Current Population Survey allowed respondents to choose more than one race; for earlieryears respondents could report only one race group.Note.—Poverty rates (percent <strong>of</strong> persons below poverty level) for all races for years not shown above are: 1959, 22.4; 1960, 22.2; 1961,21.9; 1962, 21.0; 1963, 19.5; 1964, 19.0; 1965, 17.3; 1966, 14.7; 1967, 14.2; 1968, 12.8; 1969, 12.1; 1970, 12.6; 1971, 12.5; 1972, 11.9;1973, 11.1; 1974, 11.2; 1975, 12.3; 1976, 11.8; 1977, 11.6; 1978, 11.4; 1979, 11.7; 1980, 13.0; 1981, 14.0; 1982, 15.0; 1983, 15.2; 1984,14.4; 1985, 14.0; 1986, 13.6; 1987, 13.4; and 1988, 13.0.Poverty thresholds are updated each year to reflect changes in <strong>the</strong> consumer price index (CPI–U).For details see ‘‘Current Population <strong>Report</strong>s,’’ Series P–60.Source: Department <strong>of</strong> Commerce, Bureau <strong>of</strong> <strong>the</strong> Census.
POPULATION, EMPLOYMENT, WAGES, AND PRODUCTIVITYTABLE B–34.—Population by age group, 1929–2004[Thousands <strong>of</strong> persons]Age (years)July 1TotalUnder 5 5-15 16-19 20-24 25-44 45-6465 andover1929 .......................... 121,767 11,734 26,800 9,127 10,694 35,862 21,076 6,4741933 .......................... 125,579 10,612 26,897 9,302 11,152 37,319 22,933 7,3631939 .......................... 130,880 10,418 25,179 9,822 11,519 39,354 25,823 8,7641940 .......................... 132,122 10,579 24,811 9,895 11,690 39,868 26,249 9,0311941 .......................... 133,402 10,850 24,516 9,840 11,807 40,383 26,718 9,2881942 .......................... 134,860 11,301 24,231 9,730 11,955 40,861 27,196 9,5841943 .......................... 136,739 12,016 24,093 9,607 12,064 41,420 27,671 9,8671944 .......................... 138,397 12,524 23,949 9,561 12,062 42,016 28,138 10,1471945 .......................... 139,928 12,979 23,907 9,361 12,036 42,521 28,630 10,4941946 .......................... 141,389 13,244 24,103 9,119 12,004 43,027 29,064 10,8281947 .......................... 144,126 14,406 24,468 9,097 11,814 43,657 29,498 11,1851948 .......................... 146,631 14,919 25,209 8,952 11,794 44,288 29,931 11,5381949 .......................... 149,188 15,607 25,852 8,788 11,700 44,916 30,405 11,9211950 .......................... 152,271 16,410 26,721 8,542 11,680 45,672 30,849 12,3971951 .......................... 154,878 17,333 27,279 8,446 11,552 46,103 31,362 12,8031952 .......................... 157,553 17,312 28,894 8,414 11,350 46,495 31,884 13,2031953 .......................... 160,184 17,638 30,227 8,460 11,062 46,786 32,394 13,6171954 .......................... 163,026 18,057 31,480 8,637 10,832 47,001 32,942 14,0761955 .......................... 165,931 18,566 32,682 8,744 10,714 47,194 33,506 14,5251956 .......................... 168,903 19,003 33,994 8,916 10,616 47,379 34,057 14,9381957 .......................... 171,984 19,494 35,272 9,195 10,603 47,440 34,591 15,3881958 .......................... 174,882 19,887 36,445 9,543 10,756 47,337 35,109 15,8061959 .......................... 177,830 20,175 37,368 10,215 10,969 47,192 35,663 16,2481960 .......................... 180,671 20,341 38,494 10,683 11,134 47,140 36,203 16,6751961 .......................... 183,691 20,522 39,765 11,025 11,483 47,084 36,722 17,0891962 .......................... 186,538 20,469 41,205 11,180 11,959 47,013 37,255 17,4571963 .......................... 189,242 20,342 41,626 12,007 12,714 46,994 37,782 17,7781964 .......................... 191,889 20,165 42,297 12,736 13,269 46,958 38,338 18,1271965 .......................... 194,303 19,824 42,938 13,516 13,746 46,912 38,916 18,4511966 .......................... 196,560 19,208 43,702 14,311 14,050 47,001 39,534 18,7551967 .......................... 198,712 18,563 44,244 14,200 15,248 47,194 40,193 19,0711968 .......................... 200,706 17,913 44,622 14,452 15,786 47,721 40,846 19,3651969 .......................... 202,677 17,376 44,840 14,800 16,480 48,064 41,437 19,6801970 .......................... 205,052 17,166 44,816 15,289 17,202 48,473 41,999 20,1071971 .......................... 207,661 17,244 44,591 15,688 18,159 48,936 42,482 20,5611972 .......................... 209,896 17,101 44,203 16,039 18,153 50,482 42,898 21,0201973 .......................... 211,909 16,851 43,582 16,446 18,521 51,749 43,235 21,5251974 .......................... 213,854 16,487 42,989 16,769 18,975 53,051 43,522 22,0611975 .......................... 215,973 16,121 42,508 17,017 19,527 54,302 43,801 22,6961976 .......................... 218,035 15,617 42,099 17,194 19,986 55,852 44,008 23,2781977 .......................... 220,239 15,564 41,298 17,276 20,499 57,561 44,150 23,8921978 .......................... 222,585 15,735 40,428 17,288 20,946 59,400 44,286 24,5021979 .......................... 225,055 16,063 39,552 17,242 21,297 61,379 44,390 25,1341980 .......................... 227,726 16,451 38,838 17,167 21,590 63,470 44,504 25,7071981 .......................... 229,966 16,893 38,144 16,812 21,869 65,528 44,500 26,2211982 .......................... 232,188 17,228 37,784 16,332 21,902 67,692 44,462 26,7871983 .......................... 234,307 17,547 37,526 15,823 21,844 69,733 44,474 27,3611984 .......................... 236,348 17,695 37,461 15,295 21,737 71,735 44,547 27,8781985 .......................... 238,466 17,842 37,450 15,005 21,478 73,673 44,602 28,4161986 .......................... 240,651 17,963 37,404 15,024 20,942 75,651 44,660 29,0081987 .......................... 242,804 18,052 37,333 15,215 20,385 77,338 44,854 29,6261988 .......................... 245,021 18,195 37,593 15,198 19,846 78,595 45,471 30,1241989 .......................... 247,342 18,508 37,972 14,913 19,442 79,943 45,882 30,6821990 .......................... 250,132 18,856 38,632 14,466 19,323 81,291 46,316 31,2471991 .......................... 253,493 19,208 39,349 13,992 19,414 82,844 46,874 31,8121992 .......................... 256,894 19,528 40,161 13,781 19,314 83,201 48,553 32,3561993 .......................... 260,255 19,729 40,904 13,953 19,101 83,766 49,899 32,9021994 .......................... 263,436 19,777 41,689 14,228 18,758 84,334 51,318 33,3311995 .......................... 266,557 19,627 42,510 14,522 18,391 84,933 52,806 33,7691996 .......................... 269,667 19,408 43,172 15,057 17,965 85,527 54,396 34,1431997 .......................... 272,912 19,233 43,833 15,433 17,992 85,737 56,283 34,4021998 .......................... 276,115 19,145 44,332 15,856 18,250 85,663 58,249 34,6191999 .......................... 279,295 19,136 44,755 16,164 18,672 85,408 60,362 34,7982000 1 ........................ 282,388 19,212 45,105 16,198 19,214 85,092 62,485 35,0812001 1 ........................ 285,321 19,364 45,173 16,224 19,852 84,864 64,506 35,3382002 1 ........................ 288,205 19,576 45,131 16,285 20,408 84,595 66,604 35,6082003 1 ........................ 291,049 19,769 45,087 16,374 20,810 84,378 68,711 35,9192004 .......................... 293,907 ................ ................ ................ ................ ................ ................ ................1Revised total population data for 2000–2003 are available as follows: 2000, 282,402; 2001, 285,329; 2002, 288,173; and 2003, 291,028.Note.—Includes Armed Forces overseas beginning 1940. Includes Alaska and Hawaii beginning 1950.All estimates are consistent with decennial census enumerations.Source: Department <strong>of</strong> Commerce, Bureau <strong>of</strong> <strong>the</strong> Census.251
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Economic Reportof the PresidentTran
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C O N T E N T SECONOMIC REPORT OF T
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ECONOMIC REPORT OF THE PRESIDENTTo
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the playing field is level for our
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LETTER OF TRANSMITTALCOUNCIL OF ECO
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Monetary Policy ...................
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Encouraging FDI ...................
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3-4. The Equivalence of Sales Taxes
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Real GDP expanded by 3.7 percent du
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Options for Tax ReformChapter 3, Op
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and better Nation for it. A compreh
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Innovation and the Information Econ
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ecause they do not expect family me
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The Administration has pushed aggre
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C H A P T E R 1The Year in Review a
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Consumer SpendingConsumer spending
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easons for this correlation are dis
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2003, a number of countries that to
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ProductivityRecent productivity gro
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The projected path of inflation as
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strengthen. The forecast is based o
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The growth rate of the economy over
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In sum, potential real GDP is proje
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C H A P T E R 2Expansions Past and
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The behavior of real GDP is similar
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of faltering may be attributable to
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most recent expansions have shown r
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middle of 2003. The more moderate r
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1.2 percent. Employment continued t
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SummaryModerate recessions are foll
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permanent cuts should permanently r
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and the Jobs and Growth Tax Relief
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Federal government revenues had bee
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Fiscal policy played an especially
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C H A P T E R 3Options for Tax Refo
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High Compliance CostsThe complexity
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a reasonable estimate is that a 10
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Excess BurdenBecause taxes distort
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Box 3-3 — continuedThe bottom 40
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more uniform or pure version of the
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of being collected all at once at t
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would have to differ from state tax
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owner claimed it was for business,
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The current set of saving incentive
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the current system. In addition, so
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C H A P T E R 4ImmigrationIn recent
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TABLE 4-1.— Foreign-Born Share of
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immigrants (also called illegal or
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largest group of immigrants was bor
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employment costs, including wage fl
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Chapter 4 | 103
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wages fall in response to immigrati
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immigrants from Latin America do re
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addition, as migrants leave the cou
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include siblings and adult children
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despite the tremendous growth in th
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The TWP would allow new foreign wor
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C H A P T E R 5Expanding Individual
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This phenomenon, known as the “tr
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producing more of that good. Simila
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In 2002, the President proposed “
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provide evidence of increased profi
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schools are four times as efficient
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low administrative costs, estimated
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Box 5-2: The Benefits of Land Title
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development plan designed by others
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C H A P T E R 6Innovation and theIn
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E-mail is the most common online ac
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Changed circumstances, such as new
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Illegal Acts on the InternetThe Int
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or develop new markets, which can l
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inflation factor for the price cap
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U.S. households connecting to local
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garbling their transmissions. To li
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from 51.3 percent in December 1999
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for their property rights. The Admi
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C H A P T E R 7The Global HIV/AIDS
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Chart 7-1 Estimated HIV Infection L
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There is no cure for HIV/AIDS, thou
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AIDS is more damaging to a househol
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and risk reduction have helped redu
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only one price, the drug companies
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Box 7-1 — continuedfocused on the
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Box 7-2 — continuedenhancing coor
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ConclusionThe United States and cou
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Good Two. In Ricardo’s simple mod
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The Impact of Trade on Labor Market
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The U.S. Advantage in Services Trad
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U.S. firms is associated with a cor
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anked the second-best country out o
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the Chinese government agreed to el
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Trade LiberalizationTariffs and oth
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ConclusionThe United States is the
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LETTER OF TRANSMITTALCOUNCIL OF ECO
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Report to the President on theActiv
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The Council continued its efforts t
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The Staff of the Council of Economi
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TABLE B-75.—Mortgage debt outstan
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TABLE B-77.—Consumer credit outst
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TABLE B-79.—Federal receipts, out
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TABLE B-81.—Federal receipts, out
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TABLE B-83.—Federal and State and
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TABLE B-85.—State and local gover
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End of yearor monthTABLE B-87.—U.
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End of monthTABLE B-89.—Estimated
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TABLE B-91.—Corporate profits by
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TABLE B-93.—Sales, profits, and s
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YearComposite(Dec. 31,2002=5,000) 3
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YearAGRICULTURETABLE B-97.—Farm i
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TABLE B-99.—Farm output and produ
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Year ormonthTABLE B-101.—Agricult
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INTERNATIONAL STATISTICSTABLE B-103
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TABLE B-104.—U.S. international t
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TABLE B-106.—U.S. international t
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TABLE B-108.—Industrial productio
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TABLE B-110.—Foreign exchange rat
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TABLE B-112.—Growth rates in real