Almost 200K Michigan jobs could be lost if unemployment benefits expire

[RandySF]

The $600 weekly federal unemployment insurance benefits meant to stimulate the national economy during the COVID-19 pandemic expire on July 31. Unless Congress extends those payments, the state could lose a boost in jobs, personal incomes and gross domestic product (GDP) over the next year, according to research from the Washington, D.C.-based Economic Policy Institute (EPI).

For Michigan, an extension of Pandemic Unemployment Assistance (PUA) benefits to mid-2021 means 194,520 jobs would be retained. The state’s GDP, or the total value of goods and services provided in one year, would increase by 6.6%.

“If these benefits aren’t extended, what you’re going to see is just incredibly depressed demand for goods and services,” said Julia Wolfe, EPI state economic analyst.

If more people halt spending because they are not receiving benefits, that can trickle down to create insufficient demand for goods and services. Lesser demand from households, businesses and governments constrains economic growth. If businesses are not turning a profit or making enough money to cover operating expenses, that increases their chances of economic turmoil — which can result in pay cuts, layoffs and closures.



https://www.michiganadvance.com/2020/07/14/almost-200k-michigan-jobs-could-be-lost-if-unemployment-benefits-expire/

[John Fante]

1. Republican don't understand (because they're scumbag idiots)

that those enhanced benefits are the glue holding this economy together. Without that disposable income circulating through the country, bills won't get paid, revenues will plummets, layoffs will surge, belts will further tighten, and we'll hit levels of economic hardship not seen since the Great Depression. Even cutting into the benefits would have a profound negative effect.

[pfitz59]

2. the $600 a week is critical

pays the rent and mortgage and food. stop it and the entire structure crumbles.

[North Shore Chicago]

3. Here is what perplexes me

The R's keep yammering about how folks won't go back to work to their previous employer due to they are getting so much money from unemployment. When one 'certifies' do you not have to answer a question that asks you "Have you turned down any work?" If you answer "yes" you get jammed up don't you? If you answer "no" your answer is untrue and under penalty.

So, I'm not getting their stubbornness unless I am missing something here.