07.07.2010 Policy Points

A Battle to Nowhere

A story in The Washington Independent traces the political twists and turns in Congress’ ongoing argument over extending emergency unemployment insurance benefits in response to record levels of long-term unemployment.

So, the debate has dragged on. Yesterday evening’s failed cloture vote is just the latest in a long line of disappointments and failures around unemployment insurance, known as UI. For the past nine months, the Senate has devoted hours of floor time and hundreds of hours of behind-the-scenes negotiations to ensuring that the government continues to support those left unemployed by the worst labor-market recession since the Great Depression. And for the past nine months, every bill — every extension, every jobs package — has faced staunch opposition from Republicans. Repeatedly, the Senate has had to turn to short-term stopgap measures rather than more permanent extensions. In the words of one aide, “it is beyond frustrating,” particularly since the measures are so noncontroversial. “Frustrating” has become the touchword for advocates of UI — and particularly for the unemployed.

The economic establishment stresses that the unemployment checks continue to be not only beneficial, but necessary. Testifying before the National Commission on Fiscal Responsibility and Reform, John Irons, the research and policy director of the Economic Policy Institute argued, “Unemployment should reach 6 percent or lower, and be trending downward, before any fiscal contraction should be seriously considered. In fact, with unemployment hovering near 10 percent and with projections putting unemployment at elevated levels for at least the next couple of years, further job creation is indeed necessary.”

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