Unemployment Extension: Gov. Teaching Americans To Stay Unemployed

By Audrey Howard on March 14, 2010, 9:13 am

The Senate recently passed a bill that would extend for current unemployment extension plan, providing an additional 13-20 weeks for those currently living on unemployment. Though unemployment extension will come as relief to the millions of Americans currently out of a job, will it exacerbate that nation’s economic problems? Is the unemployment extension teaching Americans to stay unemployed? Here are a few of the adverse effects of unemployment.

Increase In Employment

In a normal healthy economy, unemployment benefits last for 26 weeks, usually compensating for about 50-70% of a worker’s wages. In times of recession, like now, the federal government extends these benefits by 13 weeks, giving beneficiaries a total of 39 weeks to find new work. This is in strong contrast to the national average a person stays unemployed without the help of benefits, which is around 6 weeks during normal economic times and just over 8 weeks during a recession. By 2003, that number had raised to 10 weeks, a time when America was just coming out of a recession. Adversely, unemployment could encourage beneficiaries to delay finding a job in order keep receiving benefits. Rather than taking the first available job, workers may extend their search and increasing the unemployment rate, yet doesn’t improve the quality of jobs workers may receive.

 

High Cost For Little Growth

The cost to taxpayers for extending unemployment benefits through 2010 is estimated to be at $10 billion, yet there are serious questions as whether the economic benefits are worth the cost. For such a high cost, it is estimated that Extended Unemployment may increase the year’s GDP by 17 cents. Most studies are conclusive in the fact that unemployment has almost no effect on the type of jobs the unemployed acquire after unemployment, meaning workers are likely to have neither improvement or a decrease in their job satisfaction.

Related posts:

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  2. Unemployment Extension 2010 News: Will Senate Bill Kill New Jobs
  3. Unemployment Extension: Tier V Debate May Rage Into Lame-Duck Session
  4. Unemployment Extension Bill Adds 2M More To Those Without Healthcare
  5. Unemployment Extension 2010: Anger At Slowness Of Gov Checks


172 Responses to “Unemployment Extension: Gov. Teaching Americans To Stay Unemployed”

  1. keith says:

    RegisE. Rachal SHUT THE HELL UP you have spoken like a true MORON

  2. NakoaGnosis says:

    Right now this minute they are speaking on unemployment extensions in the senate, on c span 2 and the republicans are blocking it, it doesn’t look like they are going to approve it until (maybe”) after spring break…. this doesn’t look good for us people.

  3. Chedar says:

    Rather than the author being just a charlatan, It maybe worth his effort to do some research on the job opening vs people who are unemployed. This will proof he is either right or wrong. Rather than sitting down and write things without basis. This author should get fired. Just to illucidate this jerk, We’re not facing historic numbers of unemployed because we suddenly have historic numbers of lazy Americans. The jobs simply are not there

  4. keith says:

    moron I repeat moron

  5. Clarion says:

    I agree…MORON! There aren’t enough jobs to go around! The President is trying to create jobs. But that takes time. In the meantime are we supposed to allow good people become homeless? I for one have been unemployed for 16 months! My unemployment check is only 30% of what I previously made. Luckily I had money in savings, because I had a good job. But that is almost exhausted. I’d LOVE to be working again. Audrey you are so sadly mistaken. Do some research!

  6. Jordan Martincic says:

    i feel that that was really interesting. Good post!¡­

  7. Doug says:

    The govt. can’t create jobs. The only jobs the govt. can directly create is hiring for GOVT. jobs.

    The govt. can HELP create jobs by giving business tax breaks, deregulating the restrictions on manufacturing (we’re the most regulated country in the world), AND staying out of the free enterprise system.

    This administration is compounding the problems that businesses are having. Yes, yes I know the president inherited problems from the last administration, but one would think that one would learn from the past not compound the problem.

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  10. Richard in Ohio says:

    What nonsense! — Oh sure, I’d rather continue to collect $350 a week instead of getting a job that pays $500-$600+. It’s ideological nitwits like this one who perpetuate the myth of creating a welfare state with little basis.
    .
    The other part of this nonsense is the author’s implication that you, Mr./Ms. unewmployed person, should just settel for whatever job you can grab instead of something that you have worked hard your whole career to qualify for that is in your chosen career field. So, that college degree? Your 5-10 years experience? Forget that, you lazybones! Wal Mart needs greeters! MacDonald’s needs burger flippers! Landscapers are needed to run that mower!
    .
    Doncha know?

    One wonders, did this genius, Audrey, actually get paid to write this drivel?
    .

  11. mike maloney says:

    The author is these comments is a dumb sh*t. There are very few jobs out there compared to the sheer number of people seeking them. It is truly an employer’s market. There are approximately 6 to 8 applicants for each job. I persoanlly have filed 62 YES SIXTY-TWO applications in the last month. Know how many responses I got offering me a job? NONE! Not even ONE! So take your attitude and your “knowledge” of the situation and shove them up your *ss! You jackass!

  12. UnemployedinFla says:

    Ummm…I just read this post and had to stare at it in dis-belief…most reporters…serious reporters…base statements on facts…not opinions…UI is 50-70% of ur previous income…? Good Lord…a casual check of your local unemployment office can correct THAT error…and while you’re there, ask a few counselors about the “current” job market…I’m sure they can provide you with some true insights for you to report on…

    Oh, and since you mentioned about that bit about benefits enabling the unemployed to stay unemployed…I suggest you do a little googling…maybe you will find this report from the Wall Street Journal, written by REAL reporters that REALLY use FACTS!

    http://blogs.wsj.com/economics/2010/04/19/dont-blame-unemployment-extension-for-high-jobless-rate/

    The only thing I see here is drivel…pure, biased, non-factual garbage…

    Listen, Audrey…next time you feel like writing something…do everyone a huge favor and do a little research into your subject material…check out http://www.economicpopulist.org/content/hundreds-thousands-about-lose-unemployment-benefits

    Now there’s a hot subject…

    and while you thinking, riddle me this…290,000 new jobs last month…16,700,000 unemployed…how many months to get them all working again…?

    Lets see a report on that bold plan from Washington that’s going to create jobs for everyone again…oh, wait…there is no plan!

    Report on that.

  13. Jeff W says:

    She is kidding, right? Please tell me she’s kidding. She should walk a mile in the unemployed shoes for a few months before she writes what she did in this article. Sheesh! And some people (GOP’ers, those still with jobs) actually believe her!!

  14. Deb says:

    OK—LET THE BIG GUYS IN D.C. BE AMONG THE RANKS OF THE UNEMPLOYED—THEN MAYBE???, THERE WOULD BE SOME UNDERSTANDING OF WHAT’S GOING ON IN THE “REAL” WORLD. NOT THAT I’M AGAINST THE U.S. HELPING OTHER COUNTRIES, BUT WOULD “THEY” HELP US OUT WHEN WE’RE IN A PINCH-NATURAL CAUSES OR NOT?? PROBABLY NOT. LET SOMEONE IN THE WHITEHOUSE GET OUT A CALCULATOR, RESEARCH WHO OWES THE U.S. $ AND SEND A BILL TO THOSE IN CHARGE OF THE COUNTRIES THAT READILY HAVE THE FUNDS TO PAY THE U.S. GOVT. IF IN REALITY (WHICH WITH THE GOVT OFFICIALS SEEEMING TO ONLY WORRY WHAT THEY CAN GET OUT OF WHAT THEY’RE VOTING ON) THAT WOULD TRANSPIRE, WOULDN’T THAT $ BE HELPFUL TO THE U.S CITIZENS—FOR EX., NOW FOR UNEMPOLYMENT BENEFITS, CREATING JOBS, HELPING PEOPLE WITH COBRA PYMTS (I, MYSELF HAVE A PRIVATE INS. POLICY THAT WILL GO UP ~ 40 % 1 JULY ’10). SHOULDN’T THE CITIZENS OF THE U.S., NOT OTHER COUNTRIES BE OF TOP PRIORITY????????? WE HAVE LET THE GOVT. RUN, RUIN AND PUT OUR COUNTRY IN THE SHAPE IT’S IN FOR WAY TOO LONG!!!! DOES ANYONE IN CHARGE REALLY HONESTLY CARE ABOUT THE “LITTLE PEOPLE” IN THE U.S. WE SEND FOOD TO OTHER COUNTRIES FOR STARVING BABIES/CHILDREN, MEDICAL CARE, ETC. ARE THERE NOT HUNGRY CHILDREN HERE IN THE U.S. THAT COULD USE FOOD FROM THE COUNTRY FROM WHICH THEY LIVE??? I’M TRULY DISGUSTED BY THE GOVT.’S LACK OF GETTING THE “TRUE” PICTURE OF WHAT IS GOING ON HERE IN THE UNITED STATES OF AMERICA. I GUESS A GOOD ANALOGY OF HOW GOVT. OFFICIALS VIEW THE PROBLEMS FACING THE U.S AND IT’S CITIZENS WOULD BE—–IMAGINE THE KY DERBY (MY HOME STATE), BUT NOT WITH HORSES—-PUT BLINDERS ON GOVT. OFFICIALS, LET NUMEROUS RACES BE RUN SO ALL OFFICIALS ARE ABLE TO COMPETE(WOULDN’T THAT BE A SIGHT!!). WHO WOULD WIN? WE’LL NEVER KNOW, BUT WHY NOT DEMAND THE GOVT. PUT ACTUAL BLINDERS PHYSICALLY ON, SINCE THAT’S WHAT’S HAPPENNING IN THE GOVT. ANYWAY. MAYBE LET THEM FEEL ALITTLE INDIGNITY, THE SAME FEELING ALOT OF U.S. CITIZENS ARE FEELING RIGHT NOW!!!

  15. rp121 says:

    Audrey, you leave me stunned! No fact checking?? Can I have YOUR job?? The fraction of former pay one gets through UI is no where near 40-70%, how much meth are you on???
    Whether it is 26 wks or 99wks, the financial bleeding that takes place is unbelievable–there is NO incentive to stay unemployed!

    Please, everyone, counteract this kind of stupidity by urging your Senators to pass HR 4213 NO MORE STALLING.

  16. Yea says:

    What a bunch of whiny bitches you are. Sitting here degrading the author cause UI is near 40-70% of your wages. It is indeed depending on which state you live in. I get $630 a week in unemployment before taxes. $567 with taxes taken out. This equates to 63% of my regular pay. Maybe you people need to do the research.

  17. M Segal says:

    Dear Audrey Howard

    This is a crock of Sh*t! I am single, just short of 53, 2 degrees and was making over 90,000 a year; I am now receiving around 18,000 in benefits, have to pay for my health insurance and have been unemployeed for 17 months. I have submitted hundreds of resumes with no results. I will gladly give you my resume and let you find me a job (in other words put up or shut up) I will take any job as long as the pay is over 45,000, it is east of the Mississippi, has health insurance and is long term.

    Sincerely
    MSS

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  19. BigCat says:

    For the record, I am an unemployed American. Just looking at the BIG PICTURE here:

    - I believe unemployment benefits should be extended for a maximum of 52 weeks per person, no exceptions. One year, on the government’s nickel (26 weeks on the State, 26 weeks on the Fed), that’s it!

    - I also believe the money for continuing UC extensions should come from the existing stimulus package.

    At some point this Administration & Congress HAS to become fiscally responsible. UC extension legislation unfortunately is coming on the heels of an unprecidented government spending spree. It has to stop sometime! Some folks will be left out when belts get tightened. Every American has to tote their share of the load, before the load bankrupts us all !!!!

  20. Brenda Rooney says:

    Fact and Statistics:

    Governmental Deception of Trillions to the Muslim Nation has been Prioritized over the American People. There must be a stall and cover of astronomical lies and deception as to appease the Human Mind in forms of Propoganda. To intentionally deceive the People for illegal tactics of Closed Doors procedures is in violation of the Constitution, to the Rights Of the People, and to the Presidential Oath. These laws do not state “The American People After ”

    One Month, 20.3 Million to the Hamas terrorist associate for relocation to the US, additional Bills will be signed for Extended Living Provisions for they will not have Jobs, are Tax Free, will Live in your Forclosed Homes, Rent Free, and of course all will be allocated to the tax-payers expense, 8 Billion to Afghaniston last week, soon to be passed Bills for Extended Living Provisions and 80 Million to Shiite Women. BUT THERE ARE NO FUNDINGS FOR THE AMERICAN PEOPLE UNEMPLOYED.ALLOCATION OF FUNDS OTHER THAN THIS COUNTRY IS ILLEGAL AND VIOLATION OF THE CONSTITUTION TO THE PEOPLE, FOR THE PEOPLE AND UNTO THE PEOPLE, CRIMES OF THE PRESIDENTIAL OATH, IMPEACHABLE OFFENSES.

  21. smporter says:

    I like what this author has to say. The fact of the matter is, the government is not your mommy and daddy. It was not created to bail you out every time life gets ruff.
    Too many Americans have this sense of entitlement that whenever anything bad happens, the government should help them. WRONG!
    Some of you, that post on here, need to accept the fact that you are going to have to lower your quality of life. Do what you have to do. Quite whining! You are so selfish and stuck up to think that you DESERVE to be taken care of.
    “Ask not what your country can do for you…” If we actually lived up to JFK’s quote, most problems would be eliminated. We as Americans cannot continue to be taught that we can live life with minimal consequences. And yes, sometimes bad things happen outside of our control, but we don’t live in a fairytale land. Shit happens!

    By now you probably think that I have never been unemployed and that life has been easy for me. If you assume that, then you are wrong. The author was right when she said the average person finds a job QUICKER when not on unemployment. The reason I didn’t get on unemployment is because I knew I would work harder to find a job.

    Parents who never let their children face hardships or consequences for bad behavior, simply are teaching their child that life is easy and they will always be taken care of. This only harms that child because they will continue to live their lives depending on others. This is what the American government has done to all of us. Unemployment, social security, and universal health care are several ways the government has become an overprotective parent. (I’m not saying those programs should be completely removed and of course those programs were created with good intentions)
    But I seriously believe we as Americans need a wake up call. The federal government is not in place to protect us from life’s usual hardships and consequences. This is another reason why the middle class has started to disappear. Many people have lost the motivation and ingenuity to do more with their lives. The poor will continue to stay poor and the rich will only get richer if we continue down this path. And before you lecture me about being poor (or financially successful) or living in hardship, know that I have seen both sides of that coin. I have had everything I want and I have had times where I got nothing I wanted. Because to be honest, its almost impossible to live in America and not get the necessities of life (ie food, water, ect) There are too many charities out there, willing to help, for anyone to have to go hungry.

    On a side note, around 40% of Americans are getting most if not ALL of their federal income taxes back. This is why the programs we do have are practically bankrupt. The reason being is that the 40% who get their money back are MUCH more likely to use social programs during their life. They are draining the system, but not putting anything back into it. Need I digress…?

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