2009Nov13 Unemployment
2009Nov13 Unemployment
This week’s poll asked what people think about America’s unemployment situation. The poll was not scientific and was driven by radio listeners of the syndicated Don Creech Radio Show (www.DonCreech.com) and subscribers to Investor Resources Week In Review email update.
With the recent unemployment benefit extension, those in states with more than 8.5% unemployment will qualify for 99 weeks of benefits.
None of the respondents thought this was too little. However, 75% thought 99 weeks of benefits was too much. If Congress can’t create any new jobs, then creating dependence on Congress for income seems to be the next logical step for a politician. I am certain that those receiving extended benefits appreciated the income. However, history has demonstrated that extending benefits decreases the efforts expended to find new employment.
Has someone in your family been unemployed this year?
Forty two percent of respondents indicated that someone in their family had experience a period of unemployment.
Is it the governments’ obligation to find jobs for those who are out of work?
No one agrees that it is the government’s obligation to find a job for the unemployed. Today, federal policy is to create more government jobs rather than private sector jobs. This is evidenced by Congressional action. We are witnessing growth in government agencies which will require more taxes from us to support “them.” There is little being done by Congress, if anything, to encourage, support or stimulate the growth of jobs in the private sector. Without private sector prosperity, there is no growth and no need for new employees and the net result is a decreasing tax base. Congress is involved in self-defeating legislation for itself and our nation.
Is the company you work for currently hiring?
This was split 50/50. Half are and half are not. Even if you are fortunate enough to find a job, national surveys show that re-employed persons start with significantly lower wages than what they had with prior employment. Further, it takes about six years to return to prior levels of income. Not a good environment for retailers or tax collectors.
Would you be willing to pay a tax increase to extend unemployment benefits again?
This was not unanimous. Eighty three percent indicated no interest in increasing their personal tax liability to extend unemployment benefits one more time. We are forecasting a continuing decline in consumer spending over the next decade increasing the difficulty of creating new jobs. I recently guest lectured a college finance class and encouraged them to think of entrepreneurial activities rather than traditional employment. It was not warmly welcomed.
|
