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Study: Extending Unemployment Benefits
Increased Unemployment by More than
3 Percentage Points

National Review Magazine, by Noah Glyn

Original Article

Posted By:Scottyboy, 1/13/2014 1:56:27 PM

There has been much debate recently over the merits of extending unemployment benefits — last week, the Senate reached cloture on a bill to do so for three months, and will vote on the bill tonight. Even just among conservatives, the debate has been robust: AEI economist Michael Strain has argued, on the Corner, for extending the benefits, while others, such as Senator Rand Paul, have argued against such an extension. But the debate hasn’t focused on the academic literature on the subject – including an important, surprising new paper from the National Bureau of Economic Research (NBER), perhaps the most

Comments:
Barry and Nancy P. can stick this in their crack pipes and smoke it.

      


Post Reply  

Reply 1 - Posted by: FunOne, 1/13/2014 3:08:43 PM     (No. 9690489)

When you receive extended unemployment benefits, it is generally understood that you do have a job. That job is to vote democrat.

That is the bottom line with this entire debate.

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Reply 2 - Posted by: faith_and_reason, 1/13/2014 4:21:23 PM     (No. 9690594)

Government harms the job market, causing and increasing unemployment. Government then "fixes what greedy businesses broke," by taking money from businesses and individuals and transferring it to individuals who have "lost" their jobs."

The payment for being unemployed bids up the price of labor necessary to drag people out of the idled "labor pool."

Government blames "greed" for all of the negatives, but it is the greed of the bureaucrats and those sucked in by the extended vacation of unemployment benefits.

The same holds true, by the way, when the minimum wage outlaws the lowest rungs of the economic ladder, but welfare is bidding the hiring price upward. Government, having taken away the incentive to get out of the non-labor pool, calls greed the problem and anoints itself, once again as the rescuer.

Corrupt unions then say welfare is necessary because wages are low, not realizing (or not admitting) that wages are lower precisely because welfare exists.

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Reply 3 - Posted by: mickturn, 1/13/2014 4:47:43 PM     (No. 9690619)

So, you out there that are on ´Extended Unemployment Benefits´, sit on your arse and light up your crack pipes.

You can´t tell me there are NO JOBS...but we all know Obie has destroyed the ´GOOD Jobs´!

You could at least try........

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Reply 4 - Posted by: Bohallx, 1/13/2014 4:58:39 PM     (No. 9690631)

All probably very true in theory, but our labor force participation rate DROPS by the day, and for reasons not well understood by writers, analysts, Congress critters and assorted riff raff who comment on the matter.

I think I know what´s going on with the labor market ~ and it´s not good. We have runaway productivity improvement as a result of widespread use of advanced technology and we are well on our way to where the only good paying jobs will be in the ranks of the OWNERS, except for the guy who turns on the switch at the factory once a month ~ more a ceremonial position than anything else.

When your labor force participation rate is climbing it´s possible that extending unemployment compensation might deter somebody from taking an available job, but when that participation rate is decliming in the face of declining employment opportunities, it´s likely the extension has no discernible effect ~ except to the recipient!

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