She writes in today's WSJ:
More jobless benefits, more unemployment.
A likely rise in the U.S. jobless rate is the unfortunate reality of the government's move to fund extended unemployment benefits for another 13 months.
The effect probably won't be huge, but it will be significant. And it may well hamper any recovery in investor and business confidence...The extension of jobless benefits is likely to worsen that trend for at least several months. For one, individuals not actively searching for work or willing to take available jobs may claim they are unemployed in order to receive benefits. That could artificially boost the size of the labor force, which is used to determine the unemployment rate.
Another concern, as the San Francisco Fed notes, is that the extension of jobless benefits may "reduce the intensity" with which the unemployed search for work. Longer term, this could lead to a higher level of structural unemployment in the economy as workers' skills erode...The late rapper Notorious B.I.G. probably put it best: "mo' money, mo' problems."
PAY ATTENTION THERE ARE "NO" JOBS OUT THERE, IDIOT
ReplyDeleteOddly enough, there are jobs for those who are willing to do something outside their comfort zone.
ReplyDeleteTo Anonymous 8:04 am:
ReplyDeleteFrom EPJ just says ago:
"The number of positions waiting to be filled increased by 351,000 to 3.36 million, the most since August 2008, the Labor Department reports".
http://www.economicpolicyjournal.com/2010/12/job-openings-in-us-rise.html
How to Cure Unemployment in 60 Seconds:
ReplyDeletehttp://tinyurl.com/2cupf5z
Chris K, 3.36 million jobs available, 15 million unemployed. What are you suggesting? With 1 in 7 on food stamps, it seems people are already taking marginal low-paying jobs (ie tossing out investmens made in education to flip burgers and stay off welfare).
ReplyDelete