Good News! No, Really
By an overwhelming majority, the House has passed a measure both to extend unemployment benefits and cut business taxes. The Senate is expected to quickly follow suit and get the bill on the President’s desk.
I’ve never been so callous a libertarian that I don’t believe in some sort of unemployment protection — although I’d be happy as a B-cup in a Wonderbra if it were privatized. However, extending unemployment benefits during a recession is silly. Why? It removes an incentive to scurry for work, just when the economy needs all the extra efficiency it can find.
Which leads those of you paying close attention to ask, “Then why do you like this bill?”
Simple. It cuts business taxes — a fine idea in rain or shine — and extends unemployment payments too late to do much harm. The economy is back to buoyancy, layoffs are way down, and employment is about to rocket back upwards.
Things like this are why the Founders blessed us with divided government; the crisis is usually over before Congress can do anything to make it worse.