Thursday, April 17, 2014
Natural Experiment with Unemployment Benefits
The results are in. By cutting off unemployment benefits we got to see if that incentivised the long-term unemployed to find more jobs. It didn't. It just managed to create more misery for no good reason. On the other hand, the loss of that money going into the hands of spenders has further reduced the demand that is needed to really bring an expansion of job opportunities.