Monday, November 23, 2009

Unintended Consequences (Part 83,391)

clipped from sayanythingblog.com

Again and again liberals have insisted that one of the best ways to help with America’s unemployment problem is to expand unemployment benefits.  In fact, expanded unemployment benefits were part of the “stimulus” spending spree that was supposed to create more jobs.

Throughout critics such as myself have pointed out that making it easier to be unemployed at the expense of the people who we want to be doing the hiring was hardly a way to fix unemployment.  And it turns out we were right:

WASHINGTON – As if small businesses needed another reason not to hire, consider their latest financial burden: The cost of rising unemployment itself.

Employers already are squeezed by tight credit, rising health care costs, wary consumers and a higher minimum wage. Now, the surging jobless rate is imposing another cost. It’s forcing higher state taxes on companies to pay for unemployment insurance claims.

Some employers say the extra costs make them less likely to hire.