The Congressional Budget Office just fabricated it’s most inane and nonsensical report of 2012, noting that extending unemployment benefits for yet another year will provide the economy with 300,000 new jobs.
Crackhead economics. That’s the most succinct label for this conflicting ideology.
“The analysis … from the nonpartisan office estimates that keeping jobless benefits would cost the government $30 billion. But it would also lead to more spending by the unemployed, boosting demand for goods and services and creating new jobs,” the Associated Press reports.
Naturally, though, the AP omits the part where the CBO warns that extending long-term unemployment benefits would “[provide] an incentive for recipients to stay unemployed longer than they otherwise would have.” As if the CBO didn’t need to point out the obvious.
The report was presented due to the 2 million Americans who are set to see their unemployment benefits expire on December 29, unless Congress passes the extension.
“This report is more evidence that extending help to those who are seeking work is a better investment for our economy than extending tax breaks for those resting comfortably atop the economic ladder,” says Rep. Lloyd Doggett (D-Texas), echoing his other Democratic colleagues who want to bolster the U.S. expanding welfare state.
This nonsense has been spewed tirelessly, with Jay Carney, Nancy Pelosi, and Agriculture Secretary Tom Vilsack as its chief subscribers. It’s too bad it doesn’t make sense.
Only a moron would think extending unemployment benefits is a more fruitful economic investment than tax breaks for the upper class (important and obvious note: the so-called 1 percent are the people who own businesses and create jobs).