Chuck ---

I bonds are inflation indexed bonds.  The way they work is that they are
issued with a fixed rate, to which the current inflation rate is added.  The
rates I was refering to in class was this fixed rate or the REAL rate.  The
latest rate is 3.6%.   If you add the current inflation rate to this you get
the number you are refering to.

--- Jonathan

> -----Original Message-----
> From: Chuck Jerian [mailto:jerian@Haas.Berkeley.EDU]
> Sent: Friday, September 22, 2000 4:14 PM
> To: Jonathan Berk; abilla@haas.berkeley.edu; asbo@haas.berkeley.edu;
> bansal@haas.berkeley.edu; sboyle@haas.berkeley.edu;
> bukowski@haas.berkeley.edu; winchan@haas.berkeley.edu;
> andychen@haas.berkeley.edu; chin@haas.berkeley.edu;
> cornes@haas.berkeley.edu; dasovich@haas.berkeley.edu; Ryan Davis;
> dcouto@haas.berkeley.edu; debruyn@haas.berkeley.edu;
> devroede@haas.berkeley.edu; esarte@haas.berkeley.edu;
> fiske@haas.berkeley.edu; fontana@haas.berkeley.edu;
> frye@haas.berkeley.edu; gao@haas.berkeley.edu; hajela@haas.berkeley.edu;
> hari@haas.berkeley.edu; hornbeck@haas.berkeley.edu;
> hudacko@haas.berkeley.edu; huss@haas.berkeley.edu;
> iyer@haas.berkeley.edu; jjackson@haas.berkeley.edu;
> cjenkins@haas.berkeley.edu; kannan@haas.berkeley.edu;
> kazi@haas.berkeley.edu; keffer@haas.berkeley.edu;
> kelly@haas.berkeley.edu; kerudi@haas.berkeley.edu;
> keshav@haas.berkeley.edu; klotzgue@haas.berkeley.edu;
> kohli@haas.berkeley.edu; krishnas@haas.berkeley.edu;
> skumar@haas.berkeley.edu; dileep@snms.com; kupiecki@haas.berkeley.edu;
> kwon@haas.berkeley.edu; langridg@haas.berkeley.edu;
> clee@haas.berkeley.edu; petlee@haas.berkeley.edu;
> llevine@haas.berkeley.edu; dliu@haas.berkeley.edu;
> lysaght@haas.berkeley.edu; magner@haas.berkeley.edu;
> cmartine@haas.berkeley.edu; mcvey@haas.berkeley.edu;
> meirelle@haas.berkeley.edu; rmellenc@haas.berkeley.edu;
> mendelso@haas.berkeley.edu; mi@haas.berkeley.edu;
> murthy@haas.berkeley.edu; muthukum@haas.berkeley.edu;
> neale@haas.berkeley.edu; nimmagad@haas.berkeley.edu;
> jparker@haas.berkeley.edu; pasmooij@haas.berkeley.edu;
> jpatel@haas.berkeley.edu; pestoni@haas.berkeley.edu;
> pine@haas.berkeley.edu; prabhaka@haas.berkeley.edu;
> premkuma@haas.berkeley.edu; rangaraj@haas.berkeley.edu;
> arao@haas.berkeley.edu; ravinuta@haas.berkeley.edu;
> srobinso@haas.berkeley.edu; rogan@haas.berkeley.edu;
> roukema@haas.berkeley.edu; sama@haas.berkeley.edu; Vivek Sanghi;
> scharf@haas.berkeley.edu; shao@haas.berkeley.edu;
> shrivast@haas.berkeley.edu; siddiqi@haas.berkeley.edu;
> sklarin@haas.berkeley.edu; msmith@haas.berkeley.edu;
> psmith@haas.berkeley.edu; sundares@haas.berkeley.edu;
> tamborni@haas.berkeley.edu; tandun@haas.berkeley.edu;
> vavrek@haas.berkeley.edu; vinson@haas.berkeley.edu;
> viswanat@haas.berkeley.edu; wadhwa@haas.berkeley.edu;
> vwang@haas.berkeley.edu; owang@haas.berkeley.edu;
> fwen@haas.berkeley.edu; windham@haas.berkeley.edu;
> swu@haas.berkeley.edu; yarak@haas.berkeley.edu; Srikanth Hari;
> achen@us.ibm.com
> Cc: Madhur Duggar
> Subject: I bonds pay 7.49% -- this is the government web page
>
>
> http://www.publicdebt.treas.gov/sav/sbiinvst.htm
> I bonds pay 7.49%
>
>