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The yearly before-tax interest rate increases to 5.41%, which implies that aggregate capital decreases by 6.7% in comparison to the baseline economy.
The equilibrium yearly before-tax interest rate increases to 6.48% from 4.95%, associated with a 20.4% decrease in aggregate capital.
Lower pension contributions, all else equal, will produce a dollar-for-dollar increase in before-tax profits.
The current official measure compares before-tax cash income of families to poverty thresholds designed to represent a rough estimate of the cost of minimum basic needs at that time.
Income represents before-tax family income in 1994.
They pay only a small proportion of their before-tax profits in corporation tax and other forms of taxation.
These loans have been described as tax-disadvantaged, on the theory that the 401(k) contains before-tax dollars, but the loan is repaid with after-tax dollars.
An enduring problem is whether to measure before-tax or after-tax performance.
To eligible investors it's worth $1.00, to others it's worth only $0.70 (of before-tax income in both cases).
Social programs increase those households' before-tax income to $30,500.
