Scotties Toy Box

The Many Things In My Toy Box ….my view may change due to verifiable evidence

https://www.commondreams.org/news/2020/07/29/yale-study-600-unemployment-lifeline-championed-democrats-destroys-favorite-gop

A new study by Yale economists out this week debunks the repeated GOP talking point that the $600 federal expansion of unemployment benefits has disincentivized people from returning to work—findings published the same day Senate Republicans released a coronavirus relief proposal which critics condemned as an “utter disgrace” that will “unleash widespread suffering” on people nationwide.

 

Despite polling that shows the public popularity of the added boost—and economists warning that taking it away would spell financial catastrophe for the country—the Trump administration and GOP lawmakers who oppose an extension claim it encouraged layoffs early in the pandemic and deters people who make more from UI benefits than their former job from returning to work as businesses reopen.

The Yale study (pdf) destroys that GOP talking point. The economists examined weekly data from Homebase—a firm that provides scheduling and time clock software to small businesses—and found “no evidence that more generous benefits disincentivized work either at the onset of the expansion or as firms looked to return to business over time.”

 

“The data do not show a relationship between benefit generosity and employment paths after the CARES Act, which could be due to the collapse of labor demand during the Covid-19 crisis,” said co-author and Yale economics professor Joseph Altonji.

Although the Homebase data does not represent the entire U.S. labor market, as it is primarily focused on hourly workers at businesses like bars, restaurants, and retail stores, the segment of the workforce studied by the researchers has been disproportionately impacted by the pandemic. Additionally, as Yale News noted, “the researchers tested their results against employment outcomes in the federal government’s Current Population Survey, a more representative sample of the labor market than the Homebase data, and obtained similar findings.”

The Yale study found that people with expanded unemployment benefits actually resumed working at a similar or slightly quicker rate than others did. As MarketWatch reported Wednesday:

There is more at the link above.   But the evidence shows and has been shouted from the rooftops that the only thing keeping the little economy we have going was that $600 and unemployment.   There is record numbers of jobs lost that will never come back.  What hurts is the Democrats, the party of the people, their number two ranking member already said they don’t care about the $600 that is keeping people able to pay their bills.   They are not willing to fight for it.  As a family that has lost the main source of income due to Covid 19 this was helping us greatly, and we will struggle even harder without it.  What is there for the lower incomes when the party of the people join with the party of wealth to cancel the everything keeping food on the table and rent paid for so many of us in the country?  How can the Democratic party ask for support, and loyalty when they have none for the lower incomes.  They have lost their way.   That is why tRump won in 2016, and they are helping him today.   Democrats, fight to change the system to a more equal wealth distribution, fight for the poor , fight for the workers, damn it fight so life is not a struggle just to survive for most of us.    When we faceless cogs are gone so is your wealth.    Angry hugs

8 thoughts on “Yale Study on $600 Unemployment Lifeline Championed by Democrats Destroys Favorite GOP Talking Point

  1. Nan says:

    They simply CANNOT relate …

    Liked by 1 person

    1. Scottie says:

      Hello Nan. Yes that is why these older people need to step aside from their leadership positions. They are so out of touch with the country. They want it to be as it was when they were in their prime, their great days. We want it to be working for the people now, not the 1970’s for Democrats and the 1950’s for Republicans. These super seniors must step down. The majority of the country is under 40, but the leadership of both parties is in their late 70’s and mid 80’s. Paul Ryan was a oddity but basically no one wanted the job. Google the ages of the top ten / twenty members of each party and you see these old people have a death grip on power. It is very harmful, especially as they fought against it when they were coming up the ranks. Pelosi has clearly gotten much more conservative as she has aged and grown much more wealthy. Remember her tone death interview about the gourmet ice cream in her two very expensive thousands of dollars refrigerators? Yes they simply can’t relate. Hugs

      Liked by 1 person

  2. This jerk I was talking to yesterday was insisting that if people keep getting the extra $600 (like it’s SO much money) that they won’t go back to work. I said, there’s no jobs. He said, there’s jobs all over the place & I was like, where? Where are these jobs? He said, McDonalds, Burger King. (the usual answer). I said, you have to be kidding me. I said, if you have a Master’s Degree or even a BA, they won’t hire you, they will say you are over-qualified (I know this for a fact). & if you are in a union, you can’t legally look for work anyway … you have to wait for your business agent to call you for work. These people are so F*ng ignorant. But he insisted that people just want to sit on their asses & collect “free” money. As he sat in a bar patio with his cocktail, smoking cigarettes. We used to be friends but I doubt I will talk to him again other than to say hello.

    Liked by 2 people

    1. Scottie says:

      Hello Polly. I don’t understand these people and their incorrect assumptions. Reason can not seem to budge them. I always wondered at the hypocrisy of saying that to motivate wealthy people we need to throw money at them, but to motivate poor people we need to take money away from them and make them desperate? That makes no sense but it does give an excuse to keep pushing the countries wealth to the upper levels. Hugs

      Like

  3. randy says:

    Hello from the sticks!

    I was really surprised at the emptiness of a lot of the area on my way up. Oh—- stopped in Ludington to see the windmills. Didn’t get windmill cancer? I think Trump may have lied about that? They are really cool looking. But things are looking really bare for these areas that are normally full of summer people.
    What is really concerning regarding this unemployment issue is that for some like Amazon life is busy busy. But for thousands of other businesses and millions of workers the option of working or being homeless and starving was that unemployment payment. I read The Grapes of Wrath. I don’t want to live it. Further the work that is out there is mostly low paying “essential” work. Why would someone put their health at risk for less money than they can make being safe at home? I surely wouldn’t.
    I do worry about they long term effects. I can’t help to wonder how the way we do business will change. Will this be like the so called industrial revolution and seriously change the concepts of how labor is done?

    Liked by 2 people

    1. Scottie says:

      Hello Randy. I loved the video, thanks for sending it. Yes I think tourism and seasonal residents are not going to be a Florida thing this year also.

      The thing the Republicans are banking on is the economy continuing to crash, and they plan to blame the Democrats as they do everything else. The goal is that if tRump loses, their inaction and only funding business while letting the people suffer will hobble anything Biden tries to do. They know they may lose the Senate also and their plan is to repeat the obstruction they pulled with Obama which made the public so angry at the lack of progress they voted the Republicans back in to the majority of the congress. It is nasty because it totally doesn’t care about the people in anyway, including housing or having food. They simply don’t care because the Republican desire is only power and wealth. Nothing else, power and wealth. They would kill half the population if it gave them the levers of power.

      As for society the home delivery model has been getting stronger every year. Some jobs will always require interaction with people but even those will become more automated. Look how many places have self checkout. No one expects their gas to be pumped anymore. As robots become better able to serve as store assistants and eventually even restaurants will change how many people they really will require. I have eaten at a few restaurants where there is a screen at the table to order and to pay on. In other countries little robots bring the food to the table. Simply put Yang had a point, jobs for humans are being phased out and we need to structure society where humans not working at productive jobs can still have dignity and quality life. People will do things they love doing because they enjoy it, not to survive. For anyone who says the economics are not there for it, think about what I have posted about Elon Musk calling for no money for the unemployed while he personally made tens of billions in the last four months while taking government business handouts. Tax business and make the lives of the people worth living. Other countries have higher standards of living with much more paid vacations, social services, and shorter working hours than the US. Why is our country so far behind the advanced world? Hugs
      Hugs

      Like

      1. Nan says:

        Excellent points, Scottie. But let me add … the “average person” doesn’t spend ANY time thinking about these very important issues. All they care about is what’s going on in their own personal lives. This is part of why it’s sometimes so frustrating to take part in the various blogs … you know, I know, many others know … but the “average” individual is totally in the dark. Instead, they capture a little bit of info here and little bit there via the local newspaper “Reader’s Viewpoint,” Faux News, and their neighbors who are on the same mind as them.

        Like I said … frustrating.

        Liked by 1 person

        1. Scottie says:

          Hello Nan. I agree. Most get their snippets from social media like Facebook from either interaction with friends or advertisements / banner stuff.

          I think that is why what we do is so important. I try to post enough different things that some people will be interested in one subject and see a bit on something else. I feel that my posting does two things, educate myself on subjects and give others information they might not normally have access too. I know the last year I have restricted my posting to mostly political posts, but I think it is the most important thing now. I do hope that changes soon.
          Hugs

          Liked by 1 person

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