This seems to me to be close to a self-evident truth, although Paul Krugman denies it almost weekly and asserts there is no evidence to support the idea. Well, here are two more studies:
Extending the maximum length of benefits beyond 26 weeks made highly educated unemployed people “more ‘relaxed’ and more patient in selecting jobs,” wrote Lei Fang and Jun Nie in a new working paper, “Human Capital Dynamics and the U.S. Labor Market.” Had unemployment benefits not been extended, they estimated, “the unemployment rate during the 2010-2012 period would have been 0.5 percentage point lower than the actual level.”
Their findings follow earlier research by Makoto Nakajima, a senior economist at the Federal Reserve Bank of Philadelphia. Mr. Nakajima estimated extended jobless benefits accounted for 1.2 percentage points of the jump in the unemployment rate from the end of 2007 to the fall of 2009. (WSJ)
It definitely does. I sat next to someone on a plane about a year ago who was telling her friend that she recently lost her job but was in no rush to look for anything, “since Obama is extending unemployment,” and said that she planned to take her time and not really worry about finding a job.
Exactly! And then they take time to find a job they are more in favor of rather than what’s immediately available
Shouldn’t they? I mean they spent a majority of their lives trying to work in their respective fields
But they need a job immediately to offset their income loss
And to stop relying on the government
“After the recession, extended jobless benefits kept the unemployment rate half a percentage point higher than it otherwise would have been, according to new research from the Federal Reserve Bank of Atlanta.”
A trustworthy source as well, the impact of that is insane
Evidence for the end to payments
Or at the very least a reduction
“Their findings follow earlier research by Makoto Nakajima, a senior economist at the Federal Reserve Bank of Philadelphia. Mr. Nakajima estimated extended jobless benefits accounted for 1.2 percentage points of the jump in the unemployment rate from the end of 2007 to the fall of 2009.”
This is no longer just a rare occurence
Duplicate results list it as science.
Yes, and if it was studied again the same results would be duplicated
At least we hope so
All else being equal, if someone is willing to pay me to break rocks with a sledgehammer, or pay me to sit on my behind and do nothing, I would choose the latter.
Sitting behind a desk all day may sound wonderful, but beating rocks with a sledgehammer could prove more peaceful. You never know what the guy in the office next to you could be like
This is so true
So the organization that created QE1-3 now tells us that labor is lazy and extending money for food and shelter added to the unemployment rate.
How many of these same unemployed people lost jobs due to financial practices encouraged by the federal reserve?