Unemployment Benefits Aren't Stimulus

Discussion in 'Economics' started by SomeYoungGuy, Jul 8, 2010.

  1. TGregg

    TGregg

    This is such a shining example that I wanted to post it with only one comment:

    El' Retardo joined on May 2010.
     
    #21     Jul 8, 2010
  2. jprad

    jprad

    It's not that brilliant an assumption considering that the lowest unemployment this country ever seen was a few basis points south of 3% in the 50's.

    However, care to explain why now with roughly 10% unemployed we should give out extended benefits when the same percentage of unemployed existed in the early 80's without any supplementary help?

    And, before you go an squawk about how the method for computing UI changed in '94 consider that in this decade the number dipped below 5% very briefly in 2006.
     
    #22     Jul 9, 2010
  3. Bolts

    Bolts

    As far as the unemployment rate is concerned, it doesn't matter if benefits incentivize unemployment. In this weak job market, the positions that are open are going to get filled by somebody whether they are being optimally motivated or not.
     
    #23     Jul 10, 2010

  4. Exactly. This whole debate is about how to rearrange the deck chairs on the Titanic.
     
    #24     Jul 10, 2010
  5. well, tax was highest in fifties and USA had lowest unemployment rate. High taxes rich = good. low taxes rich= bad

    it goes against all republican religion. tax cuts are bad, say WHAAT!!!:p
     
    #25     Jul 10, 2010
  6. jprad

    jprad

    The 50's was an entirely different era that had nothing to do with taxes.

    The entire country was undergoing a westward expansion as well as a transformation from urban to suburban living due to low-cost housing and Eisenhower's interstate highway project.

    Add to that entire industries that didn't exist a few years earlier, like jet aviation, consumer electronics, nuclear (weapons, propulsion and energy), the space race and several others.

    The jobs those industries created were entirely filled internally. There was no such thing as off-shoring and imported goods were a small fraction of the GDP.
     
    #26     Jul 10, 2010
  7. dcvtss

    dcvtss

    We need some kind of jobs program, workfare, a new CCC whatever. There is a lot of aging infrastructure that could be repaired. Hell put people to work building parks or planting trees or tearing down abandoned houses in blighted inner cities, if we are going to borrow the money to pay people let's at least get something that has marginal utility out of it instead of just sending them checks so Comcast and Verizon can make their quarterly numbers. I think this would also help unemployment numbers because (and I know this is anecdotal evidence but I suspect it is widespread) I personally know several people who could get a shitty job that pays say x+100 dollars a week but would rather stay on unemployment at $x a week and not have to do anything. If your unemployment had to be earned with your hands all the sudden that other job doesn't look so shitty anymore.
     
    #27     Jul 10, 2010