[sickoflibs]

RE :”I guess that means that many of the unemployed will be competing for minimum wage jobs. With the stimulus of unemployment compensation looking like it's coming to an end (and what a shock, after an election) the real economy is about to be unmasked. If you think things are bad now, you ain't seen nothing yet. “

I would be surprised if congressional Republicans don't end up extending it. The inflationary forces created by the government, minimum wage, mandates, payroll taxes and QE2 can all make unemployment brutal. So I agree. But all and all, extended unemployment compensation works to extend a recession indefinitely.

Just ~ 4 years ago Bush, McCain, establishment Republicans and Democrats claimed we need amnesty because we don't have enough low skilled low paid workers to fuel the economy. I posted a Baltimore Sun editorial making that argument. I should dig that up.

[Rational Thought]

Agree. They will probably extend it.

Unemployment compensation is nothing more than a huge band-aid for a big wound that Government hopes will heal. But, it can't heal because of Government.

[meyer]

But all and all, extended unemployment compensation works to extend a recession indefinitely.

It tends to discourage some people from earning their keep. The old adage, "why buy the cow when you can get the milk for free?" holds true here. The best think that they can do, if they choose to extend, is to extend at 1/2 pay. That'll motivate a bit.