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Does welfare make people lazy? - The Week
The best way to measure whether the unemployed are behaving lazily is by examining the ratio of job seekers to job openings. If the problem is that unemployed people are slacking off work to enjoy the fruits of government welfare, we would expect to see a shortage of labor in the economy. Employers trying to recruit workers to expand their businesses would come up against the fact that job seekers are in short supply. Job vacancies would go unfilled and wages would be bid upward as businesses fight to recruit scarce labor away from the easy option of free welfare money. In such a scenario, cutting welfare would incentivize work, and help businesses fill vacancies.
And here is where the evidence undercuts conservative attacks on welfare. The data shows decisively that the problem is not laziness at all, but a lack of job openings. There are still three jobseekers for every job opening. In the dark days following the 2008 recession, that ratio was as high as seven people for every job opening. Wage growth remains weak. Surely there are still people who would rather claim welfare than try to work, but with so few jobs available, these people don't make a real difference. Trying to nudge them off welfare won't expand the supply of jobs. It would increase the number of people looking for a job — and remember, there are already not enough jobs for those seeking employment
The best way to measure whether the unemployed are behaving lazily is by examining the ratio of job seekers to job openings. If the problem is that unemployed people are slacking off work to enjoy the fruits of government welfare, we would expect to see a shortage of labor in the economy. Employers trying to recruit workers to expand their businesses would come up against the fact that job seekers are in short supply. Job vacancies would go unfilled and wages would be bid upward as businesses fight to recruit scarce labor away from the easy option of free welfare money. In such a scenario, cutting welfare would incentivize work, and help businesses fill vacancies.
And here is where the evidence undercuts conservative attacks on welfare. The data shows decisively that the problem is not laziness at all, but a lack of job openings. There are still three jobseekers for every job opening. In the dark days following the 2008 recession, that ratio was as high as seven people for every job opening. Wage growth remains weak. Surely there are still people who would rather claim welfare than try to work, but with so few jobs available, these people don't make a real difference. Trying to nudge them off welfare won't expand the supply of jobs. It would increase the number of people looking for a job — and remember, there are already not enough jobs for those seeking employment
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