The thing to be aware of is that by raising or lowering the rear, you're changing angle of the frame, which changes the rake angle of the forks, which changes the amount of trail in the steering system.
Kenzo is right on, if you lower the rear you're effectively increasing the rake angle, which increases trail, so slower turning and higher high speed stability.
If you raise the rear you're effectively reducing the rake angle, decreasing trail, so quicker turning and lower high speed stability.
Now, having said that, a one-inch change in the rear isn't going to impact the steering by MUCH but it will definitely affect it somewhat. Combined with other changes, one can get into real trouble.
mystic_1