The issue of unemployment benefits was being filibustered by Republicans and was finally stopped on Tuesday. Since May when the issue started being discussed, 2 million Americans lost unemployment benefits. The U.S. unemployment rate is stuck at 9.5 percent. Even though jobs aren’t available, five times more people than available jobs are looking for work. Most Democrats say unemployment benefits are an effective way to stimulate the economy. If you ask republicans, they say nobody will want to search for work with the benefits.
Unemployment benefits get away from Republican filibuster
60-40 was voted by Senate to stop the filibuster by Republicans on unemployment benefits. The vote took place minutes after Carte Goodwin was sworn in as the new Democratic senator from West Virginia to replace the late Robert C. Byrd. The New York Times reports that despite the vote, Democrats accused Republicans of needlessly stalling the unemployment extension by using their procedural power to delay the vote by an additional day rather than allow final consideration. Since Democrats didn’t lower the U.S. unemployment rate by creating new jobs, they had to extend unemployment benefits according to Republicans.
Unemployment benefits extended through November
Anyone who had their benefits expire could be covered by unemployment benefits through November. The House and Obama nevertheless have to pass the bills, reports USA Today. Republicans said they wanted to help lower the U.S. unemployment rate, but only if the bill’s $ 33.9 billion price tag was offset with budget cuts elsewhere. On Monday, Obama accused Republicans of seeking to control federal spending “on the backs of the unemployed” when not demanding a way to pay for extending Bush administration tax cuts for the wealthy.
Unemployment benefits to help the economy
The Congressional Budget Office says extending jobless benefits, which average nearly $ 310 a week, is probably the most efficient way for government policymakers to stimulate a weak economy. Basic needs like gas, food, and rent, are what unemployed benefits end up going to. According to the CBO, each $ 1 spent on benefits generates 70 cents to $ 1.90 in economic growth.
Political divide gets stronger
After so much personal involvement from Obama in passing the unemployment extension, Republicans are way less likely to help him pass any kind of bill. The Los Angeles Times reports that Tuesday’s Senate vote only increased the political divide in Congress and almost assured that any further domestic aid before November will be nearly extremely hard. Democrats still want to promote job creation.
Unemployed Americans feeling tossed around
Since November elections are right around the corner, Democrats want job creation and economic recovery to come out of things such as extended unemployment benefits. Republicans are hoping to regain control of Congress with Democratic achievements so low right now.
Citations
New York Times
nytimes.com/2010/07/21/us/politics/21jobs.html?ref=us
USA Today
usatoday.com/money/economy/employment/2010-07-21-1Ajobless21_ST_N.htm
Los Angeles Times
articles.latimes.com/2010/jul/20/nation/la-na-jobless-20100721
