This may seem ironic, but it may actually be in Obama’s political interest to allow these benefits to expire. When the unemployment compensation runs out for these folks, they may no longer be counted as ‘unemployed’ and this ‘shrinkage’ of the work force would actually drive the unemployment rate down just in time for the election, regardless of whether these people find jobs or not. What do you think happened with the last release of unemployment figures? Debbie Downer is out there this week actually proclaiming that the unemployment rate is less now than it was before Obama took office and that Obama’s policies are continuing to drive it down. It is an accounting gimmick that’s being used during this recession to make the unemployment rate seem lower than it actually is and it’s nothing more than political witchcraft that has no correlation to the actual harsh reality.
Exactly. If you are unemployed and don’t collect unemployment benefits,you don’t count. You don’t exist. You are not unemployed.