The smarties at the editorial page of the WSJ have done it again. Another brilliant ed highlighting the stupidity, ignorance and failure of Obama and the Democrats. I long said, and was ridiculed (one idiot even putting it in his sig line) that we had lots of unemployment because we had lots of unemployment benefits, not the other way around. Turns out I was right. Quelle shock.
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n a 1994 “Seinfeld” episode, George realizes that “every decision that I have ever made in my entire life has been wrong. My life is the complete opposite of everything I want it to be.” Jerry replies: “If every instinct you have is wrong, then the opposite would have to be right.”
So Costanza approaches a gorgeous woman in the coffee shop and announces, “My name is George. I’m unemployed and I live with my parents.” To his surprise, she’s interested. He lands a job with the Yankees after insulting George Steinbrenner.
Maybe President Obama ought to take Jerry’s advice too. That’s our reading of a striking new economic study that examines Congress’s decision to zero out extra unemployment benefits last year.
The authors find that this abrupt policy shift created some 1.8 million jobs, or slightly more than three of five net positions filled in 2014. The cuts also pulled a million workers who dropped out of the labor force back into the workplace. This reality happens to be the opposite of what Mr. Obama and other liberal sachems predicted.
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Cash transfer payments like jobless benefits were at the core of the Keynesian project of the 2009 stimulus. It was natural for Washington to try to help people through the recession. But Democrats also argued that redistribution would supply the best boost for the economy based on the theory of the spending multiplier. This said that every extra dollar of jobless benefits would increase “aggregate demand” and return $1.80 in higher GDP.
Before the stimulus, benefits were determined by states and typically lasted 26 weeks. The Pelosi Congress financed as many as 53 additional weeks, with benefits flowing on a sliding scale based on the severity of a state’s unemployment. Congress also created another 20-week bonus program, allowing the unemployed to collect unprecedented compensation for nearly two years."
More at the source.
""
n a 1994 “Seinfeld” episode, George realizes that “every decision that I have ever made in my entire life has been wrong. My life is the complete opposite of everything I want it to be.” Jerry replies: “If every instinct you have is wrong, then the opposite would have to be right.”
So Costanza approaches a gorgeous woman in the coffee shop and announces, “My name is George. I’m unemployed and I live with my parents.” To his surprise, she’s interested. He lands a job with the Yankees after insulting George Steinbrenner.
Maybe President Obama ought to take Jerry’s advice too. That’s our reading of a striking new economic study that examines Congress’s decision to zero out extra unemployment benefits last year.
The authors find that this abrupt policy shift created some 1.8 million jobs, or slightly more than three of five net positions filled in 2014. The cuts also pulled a million workers who dropped out of the labor force back into the workplace. This reality happens to be the opposite of what Mr. Obama and other liberal sachems predicted.
***
Cash transfer payments like jobless benefits were at the core of the Keynesian project of the 2009 stimulus. It was natural for Washington to try to help people through the recession. But Democrats also argued that redistribution would supply the best boost for the economy based on the theory of the spending multiplier. This said that every extra dollar of jobless benefits would increase “aggregate demand” and return $1.80 in higher GDP.
Before the stimulus, benefits were determined by states and typically lasted 26 weeks. The Pelosi Congress financed as many as 53 additional weeks, with benefits flowing on a sliding scale based on the severity of a state’s unemployment. Congress also created another 20-week bonus program, allowing the unemployed to collect unprecedented compensation for nearly two years."
More at the source.
