ECONOMIC PROGRESS IN
RHODE ISLAND
UNDER PRESIDENT CLINTON

President Clinton's strategy to strengthen the economy is based on reducing the federal budget deficit, lowering trade barriers, and empowering workers, families, businesses and communities to succeed. Here are some of the results for the nation and Rhode Island after the first two years of the Clinton Administration:

Improved Economic and Fiscal Conditions in the United States:

• Under Clinton Economic Plan, the deficit will be lowered by more than $600 billion -- the deficit will be cut for three years in a row for the first time since Harry Truman was President.
• Almost 6 million new jobs created -- private sector job growth rate 8 times faster than during previous Administration.
• Federal government workforce will drop by 272,900 -- creating lowest workforce since the Kennedy Administration.

Improved Economic Conditions in Rhode Island:

• 8,700 new jobs added in 23 months -- after 38,200 lost during the previous 4 years.
• 9,300 new private sector jobs added in 23 months -- after 41,000 lost during the previous 4 years.
• The unemployment rate has dropped two percentage points from 8.0% to 6.0%.
• Business failures have dropped 44%.
• Home sales have increased 12%.
• Bankruptcy filings have dropped by 13% -- after increasing by 12% annually over the previous 12 years.

What President Clinton's Accomplishments Have Achieved for the People of Rhode Island:

8 TIMES MORE RHODE ISLAND FAMILIES RECEIVE A TAX CUT THAN A TAX INCREASE: As a result of the expanded Earned Income Tax Credit, 38,141 working families in Rhode Island will receive a tax cut. This compares to an increase in the income tax rate for only the 4,950 wealthiest taxpayers in Rhode Island.

TAX CUT FOR 4,783 SMALL BUSINESSES IN RHODE ISLAND: The President helped entrepreneurs, proprietors, and other small businessmen and women by expanding the annual expensing allowance from $10,000 to $17,500. About 4,783 small businesses in Rhode Island are likely to benefit from the expansion of the expensing allowance this year alone and many more will benefit over the coming years.

164,000 RHODE ISLAND WORKERS PROTECTED BY FAMILY AND MEDICAL LEAVE ACT: The Family and Medical Leave Act allows workers to take up to 12 weeks of unpaid leave for the birth of a child, to care for a sick family member, or if they become too sick to work. This law covers about 163,557 workers in Rhode Island, and protects the jobs of 9,826 workers in Rhode Island who are likely to use unpaid leave this year alone.

116,800 STUDENTS AND FORMER STUDENTS IN RHODE ISLAND WILL BE ABLE TO BENEFIT FROM STUDENT LOAN REFORMS: Approximately 116,800 Rhode Island borrowers -- 81,800 current borrowers and 35,000 new borrowers in the next few years -- can take advantage of the new direct student loan program by participating directly in the program or by consolidating guaranteed loans into direct loans. Some will benefit from lower interest rates, and all will benefit from more repayment options, including income contingent repayment.