Unemployment Creates… Jobs?

Jay_Carney1

In what could be the stupidest statement ever given by Jay Carney (AKA Propaganda Minister) – I introduce to you a modern day miracle:

[Unemployment insurance benefits are] one of the most direct ways to infuse money directly into the economy because people who are unemployed and obviously aren’t running a paycheck are going to spend the money that they get. They’re not going to save it, they’re going to spend it. And with unemployment insurance, that way, the money goes directly back into the economy, dollar for dollar virtually.

I don’t know where the “1 million” number comes from (I didn’t see it on the video, or in a quote anywhere) – but all the sites I’ve seen carrying the article have stated something along the lines of:

Carney estimates that unemployment benefits could create up to one million jobs.

Personally, I don’t know that there are even words to describe the absurdity of the above two statements. Essentially the reasoning is this:

  1. Give unemployed people some money
  2. Unemployed people will spend the money (probably trying to pay off their credit cards before they go bankrupt, or buying double cheeseburgers from McDonald’s because they can’t afford fresh fruits and vegetables)
  3. Businesses, overwhelmed by the huge increase in sales, can’t keep up with demand and are forced to hire 1 million new workers.
Of the unemployed people who are spending this newly fabricated money (do you hear that? it’s the sound of a can being kicked down the road…), I’d like to know how many of them, exactly, are going to be spending their un-earned money at the types of businesses that we’d like to see increase their hiring. You know, business that add value, produce goods, manufacture something. Oh. Wait. No. All those businesses have been moved overseas to China. The “jobs” that are going to be “created” by this infused capital are going to be more of those $5.00 / hour clerk jobs at Wal-Mart, helping people to find the granola bar aisle.

Wow. It's Quiet Here...

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