U.S. PERSONAL INCOME ROSE 0.9 PCT IN FEBRUARY

  U.S. personal income rose 0.9 pct,
  or 32.4 billion dlrs, in February to a seasonally adjusted
  annual rate of 3,581.3 billion dlrs, the Commerce Department
  said.
      The increase followed a revised 0.2 pct rise in personal
  income during January. Earlier, the department estimated
  January personal income was unchanged.
      The February incomes rise was the largest monthly increase
  since a 1.2 pct rise in April 1986, the department said. It
  attributed last month's rise to several factors, including
  subsidy payments to farmers and government pay raises.
      The department said personal consumption expenditures were
  up during February by 1.7 pct or 49.1 billion dlrs to 2,855.9
  billion dlrs after falling by 58.4 billion dlrs or two pct in
  January.
      Purchases of durable goods were up 24.8 billion dlrs last
  month after decreasing by 69.7 billion dlrs in January with
  sales of motor vehicles accounting for most of the February
  increase and the January decline, the department said.
      Purchases of nondurables rose 10.7 billion dlrs in February
  after a 300 mln dlr increase in January.
      The Commerce Department said wage and salary incomes were
  up 15.6 billion dlrs in February after an 8.6 billion dlr rise
  in January.
      Manufacturing payrolls increased by 2.4 billion dlrs last
  month after rising 1.9 billion dlrs in February with the gains
  widespread through durable and nondurable industries, the
  department said.
      Farmers' incomes increased by 12.2 billion dlrs in February
  after declining by 8.7 billion dlrs in January. Both last
  month's increase and January's fall in farm incomes was because
  of government subsidy payments, the department said.
      Personal tax and nontax payments fell 5.5 billion dlrs in
  February following a 19.5 billion dlrs January drop. The 
  declines were a result of the Tax Reform Act of 1986.
      Federal withheld income taxes were up in February from a
  month earlier but that was offset by declines in federal
  nonwithheld taxes and lower state and local income taxes.
      Disposable personal income in February after taxes was up
  1.2 pct or 37.8 billion dlrs to 3,063.4 billion dlrs after
  rising 25.8 billion dlrs in January.
      The personal savings rate eased to 3.6 pct in February from
  four pct in January, the department said.
  

