Do Jobless Benefits Discourage People From Finding Jobs?

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One feature of the unemployment insurance program is that it specifies an exhaustion date: a person stops receiving benefits when he or she starts working again, or reaches the exhaustion date (often a fixed number of weeks after being laid off), whichever comes first.

In the past, economists observed that a large fraction of unemployed people suddenly started working again within a week or so of their exhaustion date, despite having been without work for so many weeks prior: evidence that the benefits themselves were sustaining unemployment.

If the Congressional Budget Office, Professor Krugman and others were correct, this pattern would be absent during a recession, because the demand just isn’t there, and demand will not miraculously appear merely because of the arrival of the benefit exhaustion date.

http://economix.blogs.nytimes.com/2010/03/17/do-jobless-benefits-discourage-people-from-finding-jobs/

Where has this guy been for the past three and a half years? His theory is blown to pieces by the 5 million or so 99ers who still have not been able for find work.

I think that fact proves Professor Krugman and Lawrence Katz, Labor Economist at Harvard, are correct in their views on unemployment.

The writer is just plain CLUELESS! ....and I am leaving a comment to tell him that!

americatheneedy wrote:I don't get unemployment benefits and can't find a job. Maybe they can give me unemployment, then take them so I can get a job when they run out, if this works, then I should be good to go. What a bunch of crap!!! THERE ARE NO JOBS YOU bad people!!!

I love your reasoning! Great idea. Give us our 14 weeks so we can finally find a job in week 13 that we haven't been able to find in over 3 years!

The writer of this article needs to learn a few things. I hope people made comments to let him know just how wrong and clueless he is!

americatheneedy wrote:Ok something is going on here it did it again. I'm outta here if someone if autoediting my post to say things I didn't say. I typed ID*** not bad person.

Forumotion censors certain words. We have no control over it.

OH, I really did think I was losing it. Scared me for a second.

To be fair when I was getting unemployment I did turn down a few jobs. These were jobs paying much less than I was making on unemployment and garbage jobs (one was a telemarketer job). However, since I lost unemployment a year ago or so I haven't gotten any jobs. I even applied for low paying jobs to no avail. There just aren't jobs out there.

Telemarketing that may pay nothing. People don't have money to spend on junk. So, it you are working on commission you are probably working for near nothing unless you are selling an essential product.

They were paying but it was something like $10 hour. That would have been less than I was making on unemployment.

Casey B. Mulligan ... is a certified moron ... his argument is rooted not in fact, but in the demons bouncing inside the cosmos between his ears ...

I was called for a call center job, it paid $10/hr. It was a shift from 2:30 to 11:00, 1/2 hour break in there. I never would get two days off in a row, I would be given the 2 days, so as to not generate OT, but the days were never consecutive. The HR recruiter asked me three ways to Sunday, "are you sure this would be ok with you, we cannot make any exceptions on time off". "We really need you to be honest because we spend money to train you for three weeks, and we have found people say they will work the schedule, but then miss work, etc." I paused for just a little, and then I told her that I could not in all honesty take a job like that because I would always be looking for something that would give me more time with my family. I also asked about moving to a day shift, she said they didn't do that either.

Call centers have the highest turnover rate. You should have stuck with the job for a bit and then see how it pans out. Also, usually there is a schedule bid every 3 months where you can apply for a new schedule.