Unemployment

Jobs for Main Street Act of 2009

hmoroz — Thu, 17 Dec 2009 12:55:34 -0500

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Number of workers who will run out of unemployment insurance by January if unemployment benefits are not extended: 1 million

Number who will run out by March: 3 million

Economic activity generated by each $1 of cuts to taxes on labor when interest rates are zero: -$0.81

Economic activity generated by each $1 of government spending when interest rates are zero: $2.27

Average monthly COBRA premium with the current government subsidy: $389

Average monthly COBRA premium without the current government subsidy: $1,111

Overview/Summary

Middle Class Position Analysis

Middle Class Supports. While the American Recovery and Reinvestment Act stimulated economic growth and created between 600,000 and 1.2 million additional jobs, the employment situation remains grim. The unemployment rate stands at an extraordinary 10.0 percent and more than 15 million people are jobless. There are six job openings for every worker who wants a job, while almost 40 percent of the unemployed have been jobless for longer than 26 weeks. In short, the stimulus package was necessary, but insufficient. Further, several of the most important provisions in the stimulus package, including extended unemployment benefits and health insurance assistance for the unemployed, are set to expire before the employment outlook has improved.

The Jobs for Main Street Act expands assistance for the aspiring middle-class and middle class Americans affected most by the economic downturn while allocating additional funds that can create and save jobs quickly. Without the Act’s extension of unemployment insurance, 1 million workers will run out of unemployment insurance in January and 3 million will run out by the first quarter of the year. Unemployed families relying on subsidized COBRA insurance could see their premiums skyrocket from $389 a month to $1,111 per month. Further, workers who lose their jobs in 2010 would receive no help with their COBRA premiums. Extending these invaluable programs would not only continue to assist cash-strapped middle-class families, but would help ensure that these households can continue to support the economy by spending on everyday necessities.

Additional spending included in the Jobs for Main Street Act will create jobs and further stimulate the economy. Recent research by the Federal Reserve Bank of New York demonstrates that government spending at this time will result in well over $2 in economic activity for every dollar spent, although new tax cuts would in fact shrink the economy. Aid to states for infrastructure projects, education, and public safety will create and maintain employment and preserve important services. These funds will prevent cash-strapped states from cutting public services at a time Americans most need them and will encourage additional public sector hiring. Indeed, funding for education in the original stimulus package similar to that included in the Jobs for Main Street Act created or saved more than 300,000 jobs. The maintenance of the increased federal share of Medicaid payments will serve a similar function in addition to preventing reductions in health care for low-income children and adults. The Jobs for Main Street Act invests significant resources in areas that can generate both economic activity and jobs for middle-class Americans.

Quotes from Experts

Beyond this Bill

Additional Resources

“Unemployment Insurance,” from the National Employment Law Project

“Unemployment Insurance Benefits: Where Do We Go From Here?” from the Senate Finance Committee

Testimony of LaDonna Pavetti of the Center on Budget and Policy Priorities on the Impact of the Recession and the Recovery Act on Social Safety Net Programs, before the House Budget Committee

Unemployment Compensation Extension Act of 2009

hmoroz — Thu, 22 Oct 2009 17:27:18 -0400

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Number of Americans unemployed for six months or more: 5.4 million

Percentage of unemployed workers who cannot find jobs within receiving their first six months of unemployment benefits: 50.7

Number of unemployed workers who will exhaust their unemployment insurance benefits by the end of 2009: 1.3 million

Average number of unemployed workers losing their unemployment insurance benefits each day in the absence of an extension of benefits: 7,000

Number of jobless workers for every job opening in the United States at the beginning of the recession: 1.7

Number of jobless workers for every job opening in the United States at present: 6

Overview/Summary

Middle Class Position Analysis

Middle Class Supports. While economists see signs of economic recovery, 15.1 million unemployed Americans still cannot find work. The unemployment rate continues to rise and now stands at 9.8%. Recent extensions of the duration of unemployment benefits have been necessary but insufficient: 400,000 unemployed workers exhausted their benefits at the end of September, a number that will increase to a devastating 1.3 million by the end of the year. Middle-class Americans thrown out of work cannot be allowed to lose their unemployment lifeline at a time when there are six workers for every available job.

The Unemployment Compensation Extension Act would ease the financial pain associated with long-term unemployment. Unemployment benefits provide direct assistance to the current and aspiring middle-class Americans likely to be hardest hit during the economic downturn, people who want to work but have lost their means of support through no fault of their own. With extended benefits, many families can stay in their homes, keep the lights on, and put food on the table. Unlike the House version of the legislation, the bill would protect all workers from running out of benefits while providing additional protection to the most vulnerable in the worst-hit states- places like Michigan.

In addition to the benefit to individual households, unemployment insurance provides significant economic stimulus. The unemployed tend to spend all of their benefits and quickly, providing an important economic jolt. Allowing unemployment benefits to expire for hundreds of thousands of families would undermine the successes of the American Recovery and Reinvestment Act and slow the nation’s economic recovery.

In contrast, extending the tax credit for first-time homebuyers and, particularly, expanding the credit to wealthier households and to current homeowners would do little to stimulate additional economic activity. The credit, included in the American Recovery and Reinvestment Act, has primarily benefited households which would have purchased a home even without the tax benefit. This means that the credit is poorly targeted and an inefficient use of government funds at a time of increasing concern about budget deficits. It also continues the federal government’s subsidization of homeownership, which helped cause the housing crisis. The carryback loss provision is a also a poorly targeted provision, receiving a “C” in the nonpartisan Tax Policy Center’s analysis of the stimulative effect of tax measures. Aid to state and local governments, along with legislation that targets aid to those suffering most from the economic downturn, would be a much more efficient use of federal funds.

Quotes from Experts

Beyond this Bill

Additional Resources

“Unemployment Insurance Benefits: Where Do We Go From Here?” from the Senate Finance Committee

“Unemployment Insurance,” from the National Employment Law Project

“Harsh Labor Market Conditions Justify Extending Unemployment Benefits In Hard-Hit States,” from the Center on Budget and Policy Priorities

Unemployment Compensation Extension Act of 2009 - House Version

hmoroz — Wed, 23 Sep 2009 15:27:49 -0400

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Number of Americans unemployed for six months or more: 5 million

Percentage of unemployed workers who cannot find jobs within receiving their first six months of unemployment benefits: 50.7

Number of unemployed workers who will exhaust their unemployment insurance benefits by the end of 2009: 1.3 million

Percentage of these who will be eligible for the extended benefits provided by the legislation: 81.3

Number of jobless workers for every job opening in the United States at the beginning of the recession: 1.7

Number of jobless workers for every job opening in the United States at present: 6

Overview/Summary

Middle Class Position Analysis

Middle Class Supports. While economists see signs of economic recovery, 14.9 million unemployed Americans still cannot find work. The unemployment rate continues to rise and now stands at 9.7%, keeping middle-class Americans at risk of being thrown out of work as a result of the economic downturn. According to the National Employment Law Project, 5 million Americans have been unemployed for six months or longer and half of the unemployed cannot find jobs within the first six months of receiving unemployment insurance benefits. There are 6 jobless workers for every job opening. Recent extensions of the duration of unemployment benefits have been necessary but insufficient: 400,000 unemployed workers will have exhausted their benefits by the end of September, a number that will increase to a devastating 1.3 million by the end of the year.

The Unemployment Compensation Extension Act would ease the financial pain associated with long-term unemployment. Unemployment benefits provide direct assistance to the current and aspiring middle-class Americans likely to be hardest hit during the economic downturn, people who want to work but have lost their means of support through no fault of their own. The legislation would ensure that the jobless in the worst-hit states – places like Michigan that has an unemployment rate of 15.2 percent – would avoid losing unemployment insurance at a time when finding a job is extremely difficult. The bill would prevent approximately 300,000 unemployed Americans in 27 states from losing their unemployment benefits. Though workers in all states are exhausting their benefits and more comprehensive legislation would assist them all, more than 80 percent of workers who will exhaust their benefits by the end of the year will be eligible for the extended benefit.

Quotes from Experts

Beyond this Bill

Additional Resources

“Unemployment Insurance Benefits: Where Do We Go From Here?” from the Senate Finance Committee

“Unemployment Insurance,” from the National Employment Law Project

“Harsh Labor Market Conditions Justify Extending Unemployment Benefits In Hard-Hit States,” from the Center on Budget and Policy Priorities

Unemployment Insurance Modernization Act of 2009

hmoroz — Fri, 06 Mar 2009 11:15:22 -0500

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Quotes from Experts

Beyond this Bill

Additional Resources

American Recovery and Reinvestment Act of 2009 - Conference Report

hmoroz — Tue, 17 Feb 2009 19:06:44 -0500

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Unemployment rate in early 2010, if current laws and policies governing federal spending and taxes do not change, according to the Congressional Budget Office: 9.2%

Reduction in unemployment rate in 2010 if the American Recovery and Reinvestment Act is enacted, according to the Congressional Budget Office, Mark Zandi of Moody’s Economy.com, and White House economic advisers, respectively: 1.9%, 2.1%, 1.8%

Increase in GDP from spending $1 on extended unemployment insurance benefits, in dollars: 1.63

Increase in GDP from spending $1 on accelerated depreciation, which provides businesses a tax break for new investment, in dollars: 0.25

Percentage of spending and tax cuts that will take effect by the end of 2010, according to the Congressional Budget Office: 74%

Percentage reduction in aid to states made by the conference report of the American Recovery and Reinvestment Act compared to the House version: 32%

Overview/Summary

Middle Class Position Analysis

Middle Class Supports.Economic conditions are bleak. The Congressional Budget Office estimates that if the economy continues on its current course, both the length and depth of the current downturn will be the worst since the Great Depression. For middle-class Americans, this means job and wage cuts, loss of health insurance, and, simply, a daily struggle to keep up with everyday costs like mortgage payments and college tuition.

The Congressional Budget Office estimates that if current economic conditions persist the unemployment rate could reach as high as 9.2% by 2010. With 46 million Americans already uninsured, the Kaiser Family Foundation reckons that if unemployment averages just 7% in 2009 (the current rate is 7.2%), the number of uninsured will increase by 2.6 million with an additional 2.4 million individuals enrolled in Medicaid and SCHIP. Indeed, state governments are struggling to provide the increased services needed to keep the swelling ranks of unemployed, uninsured individuals from falling out of the middle class. But the current economic climate has left states with decreased revenue from income, sales, and property taxes: 46 states face budget shortfalls with combined budget gaps of $350 billion through 2011. To confront these gaping budget holes, more than 20 states have implemented or are considering cuts to health insurance programs; the same is true of K-12 and early education programs and of funds for public colleges and universities.

Beyond the decidedly dire short-term outlook, economic improvement is probably quite far off. Douglas Elmendorf, director of the Congressional Budget Office, has testified that “economic recovery is likely to be slow and protracted.” Thus, programs that address longer-term concerns – investment in infrastructure and green technology are two primary examples – are as important as an immediate, stimulative jolt to the economy.

The American Recovery and Reinvestment Act ties together measures designed to assist middle-class households struggling to make ends meet, provisions that will provide an immediate economic stimulus, and investment that can help set the stage for an economy built on energy efficiency and durable infrastructure. Economists generally agree that the legislation will save around 3 or 4 million jobs by 2010, while increasing economic output. Indeed, the Congressional Budget Office, Mark Zandi of Moody’s Economy.com, and White House economic advisers all project that the legislation will reduce the unemployment rate by around 2%. Extended unemployment insurance will allow 6.7 million people to collect benefits. Importantly, aid to state governments for Medicaid and education programs would shore up budget gaps and help prevent cuts to vital services.

While assisting those most at need during the economic downturn, extended unemployment insurance and state fiscal assistance also generate the most “bang for their buck” in terms of stimulus because they funnel money into the hands of the people most likely to spend it. Extended unemployment insurance generates an estimated $1.63 in economic activity for each dollar spent; aid to state governments generates $1.38. In contrast, though they act more quickly than spending measures, tax cuts generate less stimulus. The Making Work Pay, Child, and Earned Income tax credits will help keep more than 2.3 million Americans out of poverty and the American Opportunity credit will make 3.8 million more students eligible for a higher education tax break. These are important measures that will assist aspiring middle-class and middle-class Americans struggling to make ends meet. But the expansions are temporary and tax cuts, even when refundable and directed at the low-income individuals most likely to spend them, are less effective stimulus measures. Worst of all, though, are tax cuts for businesses like accelerated depreciation and carryback loss provisions that have little economic benefit.

Despite concern that the spending included in the American Recovery and Reinvestment Act will be delayed, perhaps a valid concern due to the legislation’s size and complexity, the Congressional Budget Office estimates that 74% of spending would occur between 2009 and 2010. Indeed, funds for investment in infrastructure and energy efficiency, though perhaps more complicated to spend, are a critical step in longer term economic recovery. Beyond its stimulative value – infrastructure spending’s “bang for the buck” is $1.59 – the United States desperately needs new infrastructure to compete in the global economy. The American Society of Civil Engineers estimates that $2.2 trillion in infrastructure spending is now necessary. The funding for infrastructure projects included in the legislation is a first step in addressing this deficiency and funds devoted to high-speed rail are particularly welcome. Similarly, spending on a modernized electricity grid, retrofitted low-income housing, and weatherized homes creates the framework for a future economy less reliant on fossil fuels and, indeed, based on green technology.

Limitations on executive compensation and bonuses are a first step in establishing the accountability that has been missing from the financial bailout. Still, the bill does not set forth a comprehensive plan to address the foreclosure crisis that includes a moratorium on foreclosures, a mechanism to require modification of mortgages, and a change to the bankruptcy code to permit modification of mortgages on primary residences. Funds for the Neighborhood Stabilization Program are a necessary, but insufficient, step in mitigating the widespread negative effects that foreclosures can have on entire neighborhoods and communities.

Quotes from Experts

Beyond this Bill

Additional Resources

Recovery.gov, the official website of the American Recovery and Reinvestment Act

“Recession and Recovery,” from the Center on Budget and Policy Priorities

“Impact of Economic Turmoil on Health Coverage and State Medicaid Programs,” from the Kaiser Commission on Medicaid and the Uninsured

American Recovery and Reinvestment Act of 2009 - Senate Version

hmoroz — Tue, 10 Feb 2009 16:24:04 -0500

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Unemployment rate in early 2010, if current laws and policies governing federal spending and taxes do not change, according to the Congressional Budget Office: 9.2%

Increase in GDP from spending $1 on extended unemployment insurance benefits, in dollars: 1.63

Increase in GDP from spending $1 on accelerated depreciation, which provides businesses a tax break for new investment, in dollars: 0.25

Percentage reduction in aid to states made by the Senate version of the American Recovery and Reinvestment Act: 50.1%

Percentage reduction in Head Start and Early Head Start funds made by the Senate version of the American Recovery and Reinvestment Act: 50%

Overview/Summary

Middle Class Position Analysis

Middle Class Supports. Economic conditions are bleak. The Congressional Budget Office estimates that if the economy continues on its current course, both the length and depth of the current downturn will be the worst since the Great Depression. For middle-class Americans, this means job and wage cuts, loss of health insurance, and, simply, a daily struggle to keep up with everyday costs like mortgage payments and college tuition.

The Congressional Budget Office estimates that if current economic conditions persist the unemployment rate could reach as high as 9.2% by 2010. With 46 million Americans already uninsured, the Kaiser Family Foundation reckons that if unemployment averages just 7% in 2009 (the current rate is 7.2%), the number of uninsured will increase by 2.6 million with an additional 2.4 million individuals enrolled in Medicaid and SCHIP. Indeed, state governments are struggling to provide the increased services needed to keep the swelling ranks of unemployed, uninsured individuals from falling out of the middle class. But the current economic climate has left states with decreased revenue from income, sales, and property taxes: 45 states face budget shortfalls with combined budget gaps of $350 billion through 2011. To confront these gaping budget holes, more than 20 states have implemented or are considering cuts to health insurance programs; the same is true of K-12 and early education programs and of funds for public colleges and universities.

The American Recovery and Reinvestment Act ties together measures designed to assist middle-class households struggling to make ends meet, provisions that will provide an immediate economic stimulus, and investment that can help set the stage for an economy built on energy efficiency and durable infrastructure. Economists generally agree that the legislation will save around 3 or 4 million jobs by 2010, while increasing economic output. Indeed, the Congressional Budget Office , Mark Zandi of Moody’s Economy.com, and White House economic advisers all project that the legislation will reduce the unemployment rate by around 2%. Extended unemployment insurance will allow 6.7 million people to collect benefits. Importantly, aid to state governments for Medicaid and education programs would shore up budget gaps and help prevent cuts to vital services.

While assisting those most at need during the economic downturn, extended unemployment insurance and state fiscal assistance also generate the most “bang for their buck” in terms of stimulus because they funnel money into the hands of the people most likely to spend it. Extended unemployment insurance generates an estimated $1.63 in economic activity for each dollar spent; aid to state governments generates $1.38. In contrast, though they act more quickly than spending measures, tax cuts generate less stimulus. The Making Work Pay, Child, and Earned Income tax credits will help keep more than 2.1 million Americans out of poverty and the American Opportunity credit will make 3.8 million more students eligible for a higher education tax break. These are important measures that will assist aspiring middle-class and middle-class Americans struggling to make ends meet. But the expansions are temporary and tax cuts, even when refundable and directed at the low-income individuals most likely to spend them, are less effective stimulus measures. Worst of all, though, are tax cuts for businesses like accelerated depreciation and carryback loss provisions that have little economic benefit.

Despite concern that the spending included in the American Recovery and Reinvestment Act will be delayed, perhaps a valid concern due to the legislation’s size and complexity, the Congressional Budget Office estimates that 78% of spending would occur between 2009 and 2010. Indeed, funds for investment in infrastructure and energy efficiency, though perhaps more complicated to spend, are a critical step in longer term economic recovery. Beyond its stimulative value – infrastructure spending’s “bang for the buck” is $1.59 – the United States desperately needs new infrastructure to compete in the global economy. The American Society of Civil Engineers estimates that $2.2 trillion in infrastructure spending is now necessary. The funding for infrastructure projects included in the legislation is a first step in addressing this deficiency. Similarly, spending on a modernized electricity grid, retrofitted low-income housing, and weatherized homes creates the framework for a future economy less reliant on fossil fuels and, indeed, based on green technology.

Requirements for application of TARP funds to foreclosure prevention and for limitations on executive compensation and bonuses are first steps in establishing the accountability that has been missing from the financial bailout. Still, the bill does not set forth a comprehensive plan to address the foreclosure crisis that includes a moratorium on foreclosures, a mechanism to require modification of mortgages, and a change to the bankruptcy code to permit modification of mortgages on primary residences.

Quotes from Experts

Beyond this Bill

Additional Resources

“Recession and Recovery,” from the Center on Budget and Policy Priorities

“The State of the Economy and Issues in Developing an Effective Policy Response,” Statement of Douglas W. Elmendorf before the House Committee on the Budget

“Impact of Economic Turmoil on Health Coverage and State Medicaid Programs,” from the Kaiser Commission on Medicaid and the Uninsured

American Recovery and Reinvestment Act of 2009 - House Version

hmoroz — Thu, 29 Jan 2009 11:59:07 -0500

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Unemployment rate in early 2010, if current laws and policies governing federal spending and taxes do not change, according to the Congressional Budget Office: 9.2%

Number of individuals that expanded health insurance benefits included in the legislation will keep from losing health insurance: 8.5 million

Increase in GDP from spending $1 on extended unemployment insurance benefits, in dollars: 1.63

Increase in GDP from spending $1 on accelerated depreciation, which provides businesses a tax break for new investment, in dollars: 0.25

Number of dollars spent on highways for every four dollars spent on transit: 10

Overview/Summary

Middle Class Position Analysis

Middle Class Supports. Economic conditions are bleak. The Congressional Budget Office estimates that if the economy continues on its current course, both the length and depth of the current downturn will be the worst since the Great Depression. For middle-class Americans, this means job and wage cuts, loss of health insurance, and, simply, a daily struggle to keep up with everyday costs like mortgage payments and college tuition.

The Congressional Budget Office estimates that if current economic conditions persist the unemployment rate could reach as high as 9.2% by 2010. With 46 million Americans already uninsured, the Kaiser Family Foundation reckons that if unemployment averages just 7% in 2009 (the current rate is 7.2%), the number of uninsured will increase by 2.6 million with an additional 2.4 million individuals enrolled in Medicaid and SCHIP. Indeed, state governments are struggling to provide the increased services needed to keep the swelling ranks of unemployed, uninsured individuals from falling out of the middle class. But the current economic climate has left states with decreased revenue from income, sales, and property taxes: 45 states face budget shortfalls with combined budget gaps of $350 billion through 2011. To confront these gaping budget holes, more than 20 states have implemented or are considering cuts to health insurance programs; the same is true of K-12 and early education programs and of funds for public colleges and universities.

The American Recovery and Reinvestment Act ties together measures designed to assist middle-class households struggling to make ends meet, provisions that will provide an immediate economic stimulus, and investment that can help set the stage for an economy built on energy efficiency and durable infrastructure. Economists generally agree that the legislation will save around 3 or 4 million jobs by 2010, while increasing economic output. Indeed, the Congressional Budget Office, Mark Zandi of Moody’s Economy.com, and White House economic advisers all project that the legislation will reduce the unemployment rate by around 2%. Extended unemployment insurance will allow 6.7 million people to collect benefits. Expanded COBRA and Medicaid insurance programs will keep 8.5 million individuals from losing insurance. Importantly, aid to state governments for Medicaid and education programs would shore up budget gaps and help prevent cuts to vital services.

While assisting those most at need during the economic downturn, extended unemployment insurance and state fiscal assistance also generate the most “bang for their buck" in terms of stimulus because they funnel money into the hands of the people most likely to spend it. Extended unemployment insurance generates an estimated $1.63 in economic activity for each dollar spent; aid to state governments generates $1.38. In contrast, though they act more quickly than spending measures, tax cuts generate less stimulus. The Making Work Pay, Child, and Earned Income tax credits will help keep more than 2.5 million Americans out of poverty and the American Opportunity credit will make 3.8 million more students eligible for a higher education tax break. These are important measures that will assist aspiring middle-class and middle-class Americans struggling to make ends meet. But the expansions are temporary and tax cuts, even when refundable and directed at the low-income individuals most likely to spend them, are less effective stimulus measures. Worst of all, though, are tax cuts for businesses like accelerated depreciation and carryback loss provisions that have little economic benefit.

Despite concern that the spending included in the American Recovery and Reinvestment Act will be delayed, perhaps a valid concern due to the legislation’s size and complexity, the Congressional Budget Office estimates that 85% of the spending will occur between 2009 and 2011. Indeed, funds for investment in infrastructure and energy efficiency, though perhaps more complicated to spend, are a critical step in longer term economic recovery. Beyond its stimulative value – infrastructure spending’s “bang for the buck” is $1.59 – the United States desperately needs new infrastructure to compete in the global economy. The American Society of Civil Engineers estimates that $2.2 trillion in infrastructure spending is now necessary. The $160 billion for infrastructure projects included in the legislation is a first step in addressing this deficiency. Similarly, spending on a modernized electricity grid, retrofitted low-income housing, and weatherized homes creates the framework for a future economy less reliant on fossil fuels and, indeed, based on green technology.

Quotes from Experts

Beyond this Bill

Additional Resources

“Recession and Recovery,” from the Center on Budget and Policy Priorities

“The State of the Economy and Issues in Developing an Effective Policy Response,” Statement of Douglas W. Elmendorf before the House Committee on the Budget

“Impact of Economic Turmoil on Health Coverage and State Medicaid Programs,” from the Kaiser Commission on Medicaid and the Uninsured

Unemployment Compensation Extension Act of 2008

hmoroz — Fri, 12 Sep 2008 13:30:36 -0400

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Unemployment rate in October of 2008: 6.5%

Last month in which the unemployment rate was 6.5%: 3/1994

Number of Americans unemployed for 27 weeks or longer in October of 2008: 2.3 million

Estimated number of workers who would exhaust the 13-week program of Emergency Unemployment Compensation by December 31, 2008 without this legislation: 1,163,995

Weekly unemployment benefits received by the average worker: $239

Percentage of unemployed workers who collect jobless benefits: 37

Overview/Summary

Middle Class Position Analysis

The Middle Class Supports. The nation’s unemployment rate soared to 6.5% in October, leaving middle-class Americans increasingly at risk of being thrown out of work as a result of the economic downturn. Further, it is taking those without work longer to find jobs: 2.3 million Americans were unemployed for 27 weeks or longer in October, an increase of 249,000 in a single month. The National Employment Law Project estimates that almost 1.2 million workers would exhaust their extended benefits by the end of the year without another extension.

Unemployment benefits provide direct assistance to the current and aspiring middle-class Americans likely to be hardest hit during the economic downturn, people who want to work but have lost their means of support through no fault of their own. Moreover, the unemployed are most likely to spend their unemployment benefits immediately, providing an important economic jolt. Indeed, extension of unemployment benefits provides $1.64 in stimulus for every dollar spent, making the policy one of the most effective stimulus measures.

Quotes from Experts

Beyond this Bill

Additional Resources

"Helping the Jobless Helps Us All," from the National Employment Law Project, the Center for American Progress, and Half in Ten

“The unemployment trend by state,” from the Economic Policy Institute

Unemployment Insurance, from the Center on Budget and Policy Priorities

Emergency Extended Unemployment Insurance Compensation Act of 2008

hmoroz — Fri, 13 Jun 2008 16:52:47 -0400

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Percentage increase in the unemployment rate from April to May of 2008: 0.5

Most recent month in which a similarly large increase in the unemployment rate occurred: 2/1986

Estimated percentage of the unemployed who will be unemployed for longer than six months by the end of 2009, according to the Economic Policy Institute: 20.8

Number of states with an unemployment rate greater than 6.0% as of April 2008, including Washington D.C.: 5

Amount of stimulus produced for every $1 spent on extending emergency federal unemployment insurance benefits, in dollars: 1.64

Unemployment rate in Michigan in April 2008: 6.9

Overview/Summary

Middle Class Position Analysis

The Middle Class Supports. The American economy remains at risk of recession and a growing number of middle-class Americans fear being thrown out of work as a result of the downturn. The unemployment rate jumped 0.5% from April to May of 2008, the largest single-month increase since 1986. 8.5 million Americans are out of a job and the percentage of workers who are underemployed – a measure that includes individuals who are working part-time because they cannot find full-time work – is 9.7%. 1.6 million people, or 18% of the unemployed, have been unemployed for 27 weeks or more. Unemployment benefits provide direct assistance to the current and aspiring middle-class Americans likely to be hardest hit during the economic downturn, people who want to work but have lost their means of support through no fault of their own. Moreover, the unemployed are most likely to spend their unemployment benefits immediately, providing an economic jolt that will enhance the stimulus generated by the tax rebates sent out earlier this year. Indeed, extension of unemployment benefits provides $1.64 in stimulus for every dollar spent, making the policy one of the most effective stimulus measures.

Quotes from Experts

Beyond this Bill

Additional Resources

"Making the Case - Again - for Economic Rebound," from the Economic Policy Institute

Unemployment Insurance and the Stimulus Debate, from the Center for Budget and Policy Priorities

Amendment to the Military Construction and Veterans Affairs and Related Agencies Appropriations Act of 2008

hmoroz — Fri, 16 May 2008 18:23:04 -0400

Legislation

The middle class

Supports

Video Summary

Injustice Facts

Approximate total award that service members can currently receive toward their education, in dollars: 39,600

Average total charges, including tuition and fees and room and board, for four years at an in-state public college or university in 2007, in dollars: 54,356

Estimated percentage of the unemployed who will be unemployed for longer than six months by the end of 2009, according to the Economic Policy Institute: 20.8

Number of states with an unemployment rate greater than 6.0% as of April 2008, including Washington D.C.: 5

Amount of stimulus produced for every $1 spent on extending emergency federal unemployment insurance benefits, in dollars: 1.64

Unemployment rate in Michigan in April 2008: 6.9%

Minimum estimated cost of the Iraq War paid by Michigan as of May 2008, in dollars: 13 billion

Estimated 10-year cost of extending unemployment insurance benefits, in dollars: 11.1 billion

Overview/Summary

Middle Class Position Analysis

The Middle Class Supports. The American economy remains at risk of recession and the employment picture is dim. In the first four months of 2008, the American economy lost 260,000 jobs and 400,000 workers were classified as “discouraged,” wanting work but believing that no jobs were available for them. Unemployment benefits provide direct assistance to the current and aspiring middle-class Americans likely to be hardest hit during the economic downturn. Moreover, the unemployed are most likely to spend their unemployment benefits immediately, providing an economic jolt that will enhance the stimulus generated by the tax rebates sent out earlier this year. Indeed, extension of unemployment benefits provides $1.64 in stimulus for every dollar spent, making the policy one of the most effective stimulus measures.

The “New GI Bill” measures are also important. Our nation owes those young people who have volunteered to fight for the United States a fair opportunity to enter the middle class. After World War II, the education and other benefits of the GI Bill allowed unprecedented numbers of returning soldiers to access a middle-class standard of living, but today’s GI Bill, intended for peacetime, does not provide adequate benefits. This amendment would change that. Veterans of the Iraq and Afghanistan Wars face not only the challenges of readjustment to civilian life, frequently complicated by injury or mental illness, but the rising cost of higher education impacting middle-class Americans across the United States. The current GI bill covers only 60-70% of the cost of tuition at a four-year public university and less than two years at a private college. The Amendment to the supplemental appropriations bill would permit the equivalent of full scholarships to public institutions of higher learning to any service member who completed three years of service.

Imposing a moratorium on Administration-proposed Medicaid regulations will ensure continued health care access for aspiring middle-class beneficiaries and prevent a devastating loss of funding to states, public hospitals, and local schools already struggling during the economic downturn.

The provisions that increase accountability and transparency in federal contracting are welcome, but are not as comprehensive as those included in the Accountability in Contracting Act, passed by the House last year.

The Senate version contains welcome funding for programs that benefit aspiring middle-class and middle-class Americans.

Quotes from Experts

Beyond this Bill

Additional Resources

"Making the Case - Again - for Economic Rebound," from the Economic Policy Institute

Unemployment Insurance and the Stimulus Debate, from the Center for Budget and Policy Priorities

"A New GI Bill," from the Iraq and Afghanistan Veterans of America

Unemployment

Jobs for Main Street Act of 2009

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

Unemployment Compensation Extension Act of 2009

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

Unemployment Compensation Extension Act of 2009 - House Version

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

Unemployment Insurance Modernization Act of 2009

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

American Recovery and Reinvestment Act of 2009 - Conference Report

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

American Recovery and Reinvestment Act of 2009 - Senate Version

Legislation

The middle class

Video Summary

Injustice Facts

Overview/Summary

Middle Class Position Analysis

Related Blog: Header

Quotes from Experts

Related Blog: Text

Beyond this Bill

Related Blog: Link

Additional Resources

American Recovery and Reinvestment Act of 2009 - House Version