According to information being published by the Washington Post and the Associated Press, the Obama Administration is currently considering a second stimulus to the economy in the form of tax breaks for businesses. According to those familiar with the plans, who spoke on condition of anonymity as the planning is in preliminary stages but as described, these plans would represent a far more dramatic step then anything that had been previously expected. There seems to be no administration emphasis on unemployment extensions in these plans, the details of which are still under discussion.
The current plan would include a temporary payroll tax holiday, intended to spur hiring and a permanent extension of the research and development credit. The tax credit on research and development would cost the Treasury roughly $100 billion in the next decade, and depending on its final form, the payroll tax credit would allow business to keep about $300 billion they would otherwise owe the Treasury.
These options are only several that apparently are being considered as more and more Americans are becoming skeptical of the effects of the 2009 stimulus act and as Democrats see greater voter dissatisfaction which will hurt their hopes to keep control Congress in the November election.
Cutting business taxes would fit nicely with another Obama Administration priority; extending Bush administration tax cuts for the middle class. President Obama has stated on several occasions that he want to let cuts that benefit the nation’s richest families expire on schedule in January, something the Republicans have steadfastly opposed. By replacing tax cuts for the richest Americans with targeted tax cuts designed to spur hiring, Democratic strategists are hoping to attract business owners in the November election.
The White House may announce more measures next week, the sources said, when he has scheduled to deliver remarks on the economy in Milwaukee and Cleveland. There are also preliminary plans for a Presidential Press Conference on Friday, September 10 during which the President may announce additional steps.
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In other words, the car rescued from the ditch will get new visors, a clean ashtray, and some detailing. Maybe rotate the tires, an updated exhaust, and a check of all fluids, including the goldfish bowl in the ceiling console for the kids to watch.
But the engine won’t start. The car sits in the driveway and goes nowhere. The mechanics who’ve been through it inch by inch have said what’s wrong with it and what it takes to make it road-worthy and reliable for every functional use of the car. All the new, updated bells and whistles will be a big help once the car actually runs and makes it a relevant part of everyday life: the market, the gas station, the bagel store, the local hardware and book store, the library, the pharmacy, the barber shop, the consignment shop, and the pet supply shop so the goldfish in the car don’t starve.
Oh, and hey, do a dry-run with the alarm system. Wouldn’t want this baby being stolen.
Pepper…
You put the issue in great perspective. However, I should emphasize that there are preliminary plans. There will be an article posted on this site soon, I think, on the latest unemployment numbers which have risen considerably. This may cause some retooling of the car you spoke of.
What is clear to me, at least, is the people in DC are simply floundering around and not sure what to do. A frightening prospect to be sure
MC: I am very early each day to take care of my Retrievers and I read for at least 3 hours. There is NOT one by-line ANYWHERE (GOP site, Indie sites, Dem sites) that even MENTIONS unemployment benefits. That’s why I posted what I did. Oh, excuse me, Krugman did his usual NYT plea for us…my bad. This POTUS seems like the word itself gives one leprosy.
Small businesses need customers, not loans to keep their doors open. Loans have to be paid back each month to the bank. Customers do not have their ordinary resources to visit Main Street. So Harry the barber sits in his own chair all day. Mom and Pop’s pet shop is only open five days a week, 12-5 now. And the beat-down goes on.
This whole “forest for the trees” schmutz is really criminal. Bernanke dances around it, Geithner is invisible, and Summers is a cancer. The one Admin who has a pulse is leaving. Gibbs should have been ousted weeks ago. There is no Democratic message. They’re witch-hunting and turtling, abandoning ship and surrendering because the Senate is just too hurtful and cynical on them.
It is clear to me at least that there are a heck of a lot smart people that could come up with crative ways to deal with this. I am not suggesting me, but I think the group in DC really is simply casting about for soemthing that sounds good but I have doubts is it will accomplish anything
Their track record to date has not been great
Another excellent contribution Michael! I will be waiting with bated breath to hear what Obama has to say next Friday – I can only hope that the reason no mention has been made of a Tier 5 is due to Senator Stabenow’s S.3706 bill having already being introduced into committee already. Hope he plans to push this bill as well just before Congress reconvenes the Monday following his Friday press address.
The numbers this month show a very quickly stalling stimulus package. Unemployment overall is up a tick at 9.6% and more and more people are falling off of the extended benefits rolls every week. I wish there was a clear statistic for tracking the number of 99ers, but if there is, I haven’t found it yet. The closest I have come is the following which I think best represents a huge number (2.4 million) of 99ers living without benefits today:
________________________________________________________
Marginally attached to the labor force (1): 2,270,000 in July – 2,370,000 in August; up 100,000
(1)Data refer to persons who want a job, have searched for work during the prior 12 months, and were available to take a job during the reference week, but had not looked for work in the past 4 weeks.
_____________________________________________________
What a convoluted statistic this puppy is!!! Do they show up as not looking for work because they are despondent (another convoluted statistic all in itself) or simply because they stopped reporting because their benefits expired? Maybe you or one of your readers know a better statistic for representing the vast number of 99ers that are our there suffering.
Thanks again, Scott
The government is throwing a life preserver to the dead,and letting the living drowned!!!
In other words,the dead involves the economy,and the living ,are we who desperately need a Tier 5 extension now!!!
I go looking for unemployment numbers news and I come across this.
What a bunch of hate filled, unthankful, whiners that have been on the taxpayer’s dime for 99 weeks and want more! Amazing!
I have read through most of the comments here and while there are a few that are close to the truth such as tchofgrey and Tom, I am amazed at the attitude of being a helpless victim that is portrayed here and I would venture to say fostered by either the author this site. This is not what America is about. Time to buck up people.
Forget about financial markets, this country is in a world of hurt because of a bunch of whining sheep with no backbone. WoW! Where is the spirit of the settling of this country, I doubt they had unemployment. This country cannot survive long with much of this attitude.
Are these people the party of “Yes We Can” that Obama rages on about? I willing to bet so. Lets stop this shameful display of weakness to the world and once again become the strong leaders that built this country.
God Bless what is left of the real American Spirit.
Jason
Perhaps you’ve got a great secure permanent job,that is guaranteed you for the rest of your life,but as for me,I’ll be 60 in December of this year,and I lost my job in 2008 and have been unable to find ANY work since than.
I’ve sent out resumes and applied to several company’s and have never gotten ONE response. I worked steady until 2008 than lost my job of nearly 18 yrs.and lost it,through no fault of my own. I have been unable to get a job from that time on.
So don’t give me that bunch of crap about being a slacker and a parasite because you have no idea what people are dealing with at this point in time!!!
Yes, I agree. Americans need to vote against all candidates threatening senior citizen’s safety. Any politician who wants to dismantle social security won’t be voted into office.
The whiners who come here to post the same junk against the unemployed, are lazy themselves. You people need to stop complaining, pay your taxes, serve your country, and quit ripping off seniors. Either offer answers or shut up.
Mrs. Hart
I have noticed the many comments that you have placed on my articles urging people not to privatize social security. First of all, thank you for reading my articles and your comments. Although I have not checked all the 45+ articles I have written for this site, I do not recall ever mentioning social security in an article, although I did refer to it in a comment but not to advocate that it be privatized.
My articles deal with unemployment issues and unemployment insurance issues. While I am aware that there are some politicians in the past who have suggested that social security should be privatized, asl you well know these suggestions went nowhere. Also, there is no bill that is suggesting this.
Although I have not the time to check the postions of candidates in the current midterms on the suggestion of privatizing social security, I know of no candidate that has come out for this, but as I say my writings are about unemployment and unemployment insurance not social security – perhaps you are confusing the two?
Jason,
Don’t be too hash on us, we are trying to get back on our feet. It is just not easy, where would you like me to apply for a job, McD, sure I will do it. The outcome of being over quailfy is @ 110% guranteed. Now, where else can I go to take care of my family, welfare? Don’t think so @ this point.
My question to you is what really happen to ALL the money UI collected from ALL these years since depression? Please answer this and we will continue our conversation on how much is enough for 99er’s or when will it end for 99er’s.
By the way Jason,I’m not a left wing liberal,but a Conservative independent!!!
Thats interesting. I have no intent of being harsh but really at what point is enough?
How many weeks of unemployment benefits do you recommend? Is there ever a point in your mind that is unreasonable? 5yrs, 10yrs, for life? Really please.
The government (the taxpayers) can only carry so much weight.
Jason,
Kindly let me know on who pays for the oversea/foreign aid from us. It must be pay for just like GOP want UI Ext.
Now, UI for hard working American Citizens, we are unable to find a dime to pay for UI. Come on now.
Jason ,it will be enough when a man or a woman are able to go out seeking a job and are able to find one!
This country needs to start caring for it’s own,(the working man) and stop trying to help the greedy bankers and Automobile conglomerates,etc.,etc.
You don’t sound like a conservative to me Jake. I have never heard of a conservative that think that the government is in the business of making sure they have a job. Quite the opposite, the government with its massive regulation and taxation is keeping the real economy from working and thus producing more private sector jobs.
The problem with this country is dependence on government. I have to go, I have business to attend to, I will try to stimulate the economy so you can find a job.
This is a country “for the people,by the people remember that Jason ok?
Jason has a warped idea,what a conservative truly is!!!
Jake I am interested, since you consider yourself a conservative, please answer Jason’s question. How many weeks are enough in your view?
There does need to be some limit, I assume you agree. If there was no limit it would cause the country to collapse.
Shelly,
The question should be,do we allow millions of countrymen to slip through the cracks while we focus our attention on ,saving automobile conglomerates,wall street,etc.,etc,.
Our country’s focus must be on it’s people,not on corporate greed and the personal greed of government officials…
Well, Jake…can you answer Jason’s question? How much is enough?
You answer how long is enough ! How many years of a shrinking economy is enough ?
Ive got your answer . Keep paying until I can find decent employment to feed my family .
This country will collapse if nothing is done to help the working class!!! We are (were) the backbone of this country only now to be treated like 2nd class citizens! Foreign countries get more help and respect than we do!
I myself am a 55 year female who has worked steady since I was 17 paying taxes and into the UI system until 2 years ago SO DON’T TELL ME THERE SHOULD BE A LIMIT if no jobs…any jobs..are available to us!!!
Those greedy bastards that let all the jobs be out sourced so they could get richer should be held responsible and made to reverse that decision so that the American people can work again!!!
Without a Tier 5 for us the states will be burdened with more Welfare claims, medical and food assistance. Either way the government will have to pay much more in the long run with millions of homeless families applying every week!
This is a sad state of affairs when the people of THIS country can not get help they deserve!!!!
There should be NO tiers. There SHOULD NOT have been this kind of recession to BEGIN with.
That being said, in answer to your question if you please, I ask another. How long should a person go without finding a job. How many resume rejections is too many ? How long is too long ? As you said, there has to be some limit to chronic unemployment or the country will collapse.
What did they/government do with all the UE monies?
I have paied into UE insurance for over 40 years plus what my employer contributed, and the government was suppose to invest that money not take it and use as they pleased. That is exactly what they did. Now it isn’t there for us.
Ya know, you bring up a small problem–Say you work for 40 years– each pay check, you recieve, bang the company, paid, your unemployment, ins. into a fund, so say for instance, you are like me, union worker, that’s not working, but in the past, hey layoff’s happen, so then you draw on ui, till the next job, so the ui office states, last 4 quarters, to base your claim, so it’s a saftey net–so now after 40 years, you get 26 weeks+ a tier, if ya can meet the deadline– lets see in nevada, i maxed @ 10000 over 6 months, so you do this math–over 40 years, thats about 20k per year now x 40 years– Where did the money go????, nice post, i have no answer, ask the dept of labor, this same question, they kinda say, nothing!!!
Wow, the ignorance is just amazing.
Fact: Unless you live in one of three states none of you have ever contributed ONE DIME towards unemployment insurance premiums/taxes. If you live in one of the three states that have an employee portion for UI, the tax rate is a fraction of 1% on a tiny chunk of income.
UI are state programs financed 100% by EMPLOYERS ! The taxes/premiums EMPLOYERS pay finance just 26 weeks of benefits. Any benefits beyond 26 weeks are federal extensions paid for by the federal credit card. The current 73 weeks of federal extensions are UNPRECEDENTED in the history of the UI system.
You tell me. We shouldn’t even be dealing with this scope of unemployment. Where are the jobs for those who need them ?
Where is the decency in this country ! The candidates are a sorry bunch, a disgrace ! Who’s giving campaign donations to candidates that want to rob seniors of their retirement.
These people need to be shown the door.
To Jake Hess dont get upset ! Ive read you comments not just here but on many websites . You make alot of sense to me . Dont worry about what a few of the small brained people say to you ! You and I know whats right in our hearts ! Keep the peace my friend !
Mrs. Hart,very good retort!!!
AMEN!!!!
Pat in NJ- Right on!!!
Tax cut to hire people what MCDONALDS?????
I got the anwser bring back the jobs in China then we will have work.
The problem with this is that no one will buy things made in US factories because the same products can be made much cheaper elsewhere and so cost less to the consumer.
If I have two identical goods and one is $10 and made in the US and the other one is $5 and made in India, provided that the items are of the same quality – and they are – the $5 product will sell and the $10 one won’t.
So, how does bringing back jobs from China/India help? It doesn’t. Globalization is NOT going away, it’s accelerating.
Part of it is true, cheaper product get sold here….However, I can’t promise you that made in China (poor quailty) will be the product I purchase for long term use, forinstead on tools, tools that made in China are so poor that you may only use them a couple of times…If I was to purchase something to use for once, yes, you are correct that I will be looking for cheapest product…Long term use, no way that I will buy anything made in China…
Just my 0.02 cents
Give us a leadership in government,that can identify with the common man. This is what we need!!!
You both seem very disconnected from reality. The government cannot make any jobs because it does not make any money. In fact, the more money the government doles out the more jobs will be lost in the private sector because of heavier taxation.
I agree with Jason there is only one solution to this and it is not to increase the government dole.
You people need to listen more and blubber less. No one wants your politics or your fake candidates blaming this group or that. Put people back to work. Private businesses, the backbone of this country create jobs.
Shelly-The government DECIDES where OUR money go’s,and there is way to much PORK involved in where it go’s!!!
Shelly, I think you are in a nest of Socialists. Their system has never worked and it never will because it does not have room for cause and effect. It is the warm fuzzies without reality, in essence childishness. Don’t waste too much time but I agree with your points. Have a great day.
Like the old bumper sticker says:
“WORK HARDER MILLIONS ON WELFARE DEPEND ON YOU”
You people need to listen more and blubber less. No one wants your politics or your fake candidates blaming this group or that. Put people back to work. Private businesses, the backbone of this country create jobs.
Get to it.
Richard-A society that ignores and allows it’s citizens to fall between the cracks is not the kind of society the fore fathers envisioned!!!
Look Jake I’m not too sure you are for real but I can tell you this. The founders did not set this country up as socialist welfare state like you seem to want. Exactly the opposite.
I think you are a democrat activist that is out to depress peoples mood so they will vote for the democrat welfare gang.
Look at it this way all you 99ers. There is a 90.4% EMPLOYMENT rate in this country. Now that doesn’t sound so bad does it?
Jake:
Our forefathers certainly didn’t envision a welfare state which is what you seem to be advocating for.
Our forefathers never envisioned the disdain the unemployed would have to endure. Also, dear, weren’t you the one who chastised others for poor English and grammar, accusing them of being “ignorant” ?
Hint. Try not to end a sentence in a preposition.
It’s “with” a preposition. But you’re right, it’s obnoxious.
It’s hard for people who are not laid off yet, are able to pay their bills, to truly understand what is happening until they themselves are in that position. If we had a normal economy, then extensions, Tiers, wouldn’t be needed. In the recent past I have written out a job application, and have been hired on the spot. Since the criminals of Wall Street did this to us, all has changed. It created this GREAT recession, the worst since 1929, so this is an Emergency which is battering the middle class like never before.
FEAR has gripped this nation, people who are working are not saving, business is not hiring and wringing out ever more work from over worked, over stressed workers, that’s why PROUCTIVITY is DOWN.
A salesman said, “I can sell snow to Eskimos, but I need Eskimos to sell too, their are no Eskimos out there.
Must be a slow news day on the mountain top for you three to have to come all the way down here to the ghetto to make sure the sycophantic destitute are rightfully situated where we deserve to be. Thanks for the spittal out the window as you drove past. Nice touch.
I find one thing very difficult to understand and maybe one of you who think that giving tax breaks to the very rich is a good Idea can explain to all of us how it makes good policy. For 10 years the rich had the big tax breaks that are about to expire and look where it got us. Trillions went to the top 2% in the form of tax breaks and yet we find ourselves in this mess. How does extending those tax breaks make us better off. They had them and look at what it did. What about the 2 billion a day we are spending on the war in the middle east, what has that done for us or our economy. All of that on the national debt by the very ones who want to pull the rug out from under those who have so little to left to give. How do you square that. Just try to explain it away. Go ahead give it a shot.
Doug-Do you recall a little document that states”For the people,and by the people???
We the People of the United States of America, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defense, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America.
Act like an American!
France had a Lady a few hundred years ago,that made a statement about the poor not having enough food,she said,”Let them eat cake”,sound familiar???
promote the general Welfare,THOSE ARE MIGHTY GOOD WORDS!!! Another word for well-being for ALL it’s citizens!!!
They key word here Jake is PROMOTE not PROVIDE. Big difference.
Jake, I think that says it all. No other comment required.
Ray
I know you are a regular reader and I appreciate the kind comments you have made on some of my articles….I have to share with you the growing concern I have with the level of discourse these articles seem to be causing.
I have always suggested a reasonable discussion and sharing of thoughts….now I seem to be seeing a level of hatred and venom I have not seen before….I am not referring to you, let me make that clear, but I am simply wondering if anything is being accomplished here.
Ok, I have said this before on another article comment section, but let me try again to state my position, which I suspect will result in more personal attacks. But let me try one more time.
There has been a concept circulating around which seems to me should be addressed, but frankly, I do not have the time to prepare a full article. This is the concept that somehow unemployment benefits are entitlement programs.
“Entitlement Programs” as used in the context of government programs are basically programs which people are automatically entitled to. For example, when a person reaches 65 he is automatically entitled to Social Security. Thus almost 100% of people when they reach a certain age are entitled to Social Security.
Unemployment insurance benefits are most assuredly not “entitlement programs” as used in this context. For a person to get unemployment insurance, they have to prove that they have lost their job through no fault of their own and that they have a sufficient record of employment and earnings. Although the number change slightly from week to week, the usual number is that only about 45% of those that are unemployed get unemployment insurance benefits, hardly the features of an entitlement program.
I am well aware that this concept will be rejected. It has always been amusing to me that people fight like tigers to keep their Medicare benefits (which I believe to be a good program, incidentally), which is an entitlement program, but deride and ridicule people that get unemployment insurance calling it an entitlement program. No one in this nation is entitled to unemployment insurance. It has to be earned.
Perhaps this article is not the best place to share these comments, since I did not mention entitlement programs once in the article, but I keep seeing this bogus characterization of unemployment benefits coming up, on this and other sites, and I thought I would just try to introduce an element of reality here.
Michael Colliss
Nobody wants to rely on the government to spur jobs growth, but in this rare economic climate something literally has to be done. The white house can’t just sit on it’s hands and hope the private sector starts handing out jobs, especially when credit is hard to come by. Things must happen, like payroll tax cuts for small business that will be offset with the ending of bush tax cuts. It’s better to help smaller business hire than to help top 2% spend. Yes they are business owners too, but a business tax cut is very different from an income tax cut, we can agree on that.
Michael-Social Security is a program that we pay into through the course of our work life. It’s not an entitlement,it’s a mandatory deduction from our pay in order to have funds when we decide to retire.
Mr. Hess…
I am well aware of the mechanics of how social security works (by the way, as you are probably also aware people by and large get mroe from social security then they pay in, but that is how it should b)
My point – which seems to have ignored by you – is that unemployment insurance cannot be called an entitlement.
Incentive incentive incentive is all you need. It must be a narrow focused incentive. Unlike bush tax cuts which people hope will result is positive effect, incentivized tax cuts that narrow focus specifically on hiring the longest people out of work will bring unemployment down slowly. The president made a mistake in the first place calling it recovery summer. If his aids would have realized it takes time republicans wouldn’t have that cheap talking point, and we can all count on republicans to cheapen any conversation for political gain.
As you stated, and I quote, “For example, when a person reaches 65 he is automatically entitled to Social Security. Social Security is not an entitlement because the citizen must pay into it and therefore that plays a part in the process.
Also you’re correct with stating that unemployment is not an entitlement because,your employer pays for that.
Just clarifying your misunderstanding!!!
I think we all have to take a step back and take a deep breath.
Nothing on this website is going to change anything period. This is not the place where things get changed but mostly its a place we, meaning all of us have a chance to speak up, however meaningless it really is.
I think all of us know what’s right and what’s wrong with our political system and every one of us have a slant one way or another, and I think we can all agree on that.
What we need is a discussion of what it will take to get people back to work and get this great nation on its feet again. The spin doctors will take care of the blame game.
I think that Mr. colliss is giving us a great forum to find the solutions to get things done, brain storming as it were. I feel that we are adding much stress to him because of the things being said on here and I know those things come from frustration with a broken system. But honestly we need to discuss how to find a solution to the many problems our country faces and get those solutions to those who can make a difference. We are Americans thats what we do. Just thinking out loud is all. If I had the solutions I would be setting at the white house. Its way over my head to offer anything but with a good understanding we all can offer something.
RayT-Your right on 100%
Those of you who refer to unemployment as an entitlement either don’t get it or you are following the playbook of Sharron Angle, who has said as much in her statements about the unemployed. If you are following that playbook, God help you if you live in Arizona, and you vote for this wignut.
Poor Arizona is right. Who pays money to back these people ! Are they that out of touch ?
Seniors will not vote for anyone who plans to rob them of their social security.
How long are you Americans going to keep taking the congress for their word. Does not anything sink in?
Check out some simple conclusions.
When to economy took a dump and many of you lost your American dreams. Remember that one, you know when they told you that wall street and Fanny May and Freddie Mac or whoever they are (BIG BANKERS) caused the economy to fall apart.
What did the American Government do?
They gave them a bail out.
A bail out of billions of your money.
They in turn gave their friends bonuses with your money.
What did the American People get from it ?
Devastational loss of employment due to the domino effect when big corps went under and shut down other major parts of the employment sectors.
These Millions of Jobs just did not come back up there are still millions of these same Americans out of work because of GOVERNMENT BANKS AND LIES, DECEIT, America was robbed and left devastated in shock , so you and everyone else would not understand at that moment YOU HAD JUST BEEN HIGH JACKED BY YOUR OWN GOVERNMENT..
If you do not understand this ask yourself this one thing, why did the UNITED STATED GOVERNMENT ALLOW THE FEDERAL RESERVE TO PASS OUT TRILLIONS OF YOUR DOLLARS AND YOUR CHILDRENS DOLLARS TO THE VERY PEOPLE WHO CAUSED THE PROBLEM TO BEGIN WITH?
ALSO I HOPE ALL YOU ENJOY YOUR BIG CHANGES IN AMERICA FROM YOUR NEW PRESIDENT OBAMA.
when will America wake up?
Every single American citizen should get a bail out from these crooks who stole your children’s future.
The bail out total is 8 trillion dollars,
That is 8 with 12 zeros.
8,000,000,000,000
Divide that by the American population being every man, woman, and child
The amount that could have been distributed to each would be around 25,000.
Now you tell me would that have created jobs? Would that have stimulated the economy?
Would it have dropped the number of murders and robberies and thefts.?
America is headed for disaster if they don’t get their head out of the main stream media arse
So here we are those who must beg our government to give us back just a piece of our freedom, for a short time until they do it again.
Just the fact that the federal reserve can do what ever they want, give out as much money of yours as they want to the very ones that caused this problem should make you ask yourself what is going wrong. Then it is a debt our children are gong to be paying for the next 150 years.
It is about time that the American people get paid off for the big wall street and banker defaults. It is time to let the wealth of this country back to the citizens and let those who are supposed to be our secretary get paid less in nothing at all. There are thousands of people who would make greater presidents and would not take a dime for it. That is what this country is founded on the people are the government.
That is not so today, the American government has been high jacked.