posted on January 10, 2014 13:32
In a speech a couple of weeks ago the President urged Congress to get moving and pass his bill to extend unemployment benefits then, climbing up on his rhetorical high horse, he added that paying unemployment benefits “is one of the most effective ways to boost the economy” – which sounded a little odd, like the President was saying to boost the economy we need more unemployed.
Of course, the President didn’t mean it that way at all – but still, in another way, it shows how much faith the President has in the government spending money.
No doubt, most folks would agree Congress spending $25 billion to pay unemployment benefits to help needy families keep body and soul together is a necessary but unfortunate burden. But the President goes a step further: The way he sees it, if unemployment goes down we win – but if it goes up we win too. Because paying more benefits will boost the economy.
That kind of thinking could land a fellow in the poor house.
Instead, it looks like paying unemployment benefits is like providing life support to a fellow who’s in the hospital. Keeping the respirator going keeps him alive. But it isn’t curing him. And any doctor who tells him he’s in a win-win situation missed the boat.