Posted by Jason | Posted in Economics, Government | Posted on 21-07-2010
This morning on FaceBook, Dimitri Vassilaros, a local reporter in Pittsburgh, posted his question of the day, which was “How long should someone be allowed to receive unemployment assistance?”
Of course, there were the typical stories of someone that was laid off, and then there were the all caring liberals who love to say they care. The one commenter said they should receive unemployment until they find employment. Wow, that sounds caring. How motivated is someone going to be if they know they will receive free money for as long as it takes. I’m ready to get laid off just at the thought of it.
How long the unemployed should receive unemployment payments should be obvious by the name of the program, Unemployment Insurance. It is insurance, and as such should be no different than any other insurance. If I buy life insurance and I die, my family doesn’t have the amount raised just because my death may cause more hardship than I was willing to provide for. Why would unemployment insurance be any different? If you bought unemployment insurance that provides 26 weeks of unemployment benefits in the event of losing your job, then you should get 26 weeks, no more no less.
Of course unemployment is different than other insurance in that it’s ran by the government, which means it’s all political. When there is no restraint on how much money you can steal via taxation or inflation, you can buy off the unemployed with bribes of continuing unemployment. What these all caring liberals do not understand is that nothing is free. Just because you feel all warm inside when you say you want to help take care of someone who’s out of work doesn’t mean you aren’t harming someone else to do it.
To start, insurance rates, including unemployment insurance, are based on the chances of a person becoming unemployed and the length of unemployment benefits that will be paid. If you you arbitrarily, as the government does, change the terms after the fact, the money that was paid in isn’t enough to cover what is being paid out. Then who pays it? Well, everyone else in the country who is working and paying taxes and everyone else including children and those not born yet through the form of debt. Truth be told all of the money is paid by borrowing tomorrow production in the form of debt. In the future, the next generation and the current will have to work, not to reap the rewards of their labor and investment, but to pay for the non-productive time of those who were not working in the past. Is this really caring? Is it caring to enslave someone who has no say in their enslavement?