Sunday, July 4, 2010

Extend jobless benefits, and not by trimming stimulus

 (http://www.boston.com/news/globe/)  
GLOBE EDITORIAL
Extend jobless benefits, and not by trimming  stimulus
July 3, 2010
THE MEAGER gain in private-sector jobs reported yesterday is further  
evidence that the economic recovery is weak, casting a harsh light on
 Congress'
failure to extend unemployment benefits before starting its  Fourth of
July
recess. Actions by Republicans, including Senator Scott  Brown of
Massachusetts, to block the jobless benefits bill have already  cost
1.3 million
long-term unemployed Americans this lifeline. If Congress  fails to
act by the
end of July, an additional 2 million will lose their  unemployment
checks.
Jobless benefits play two critical roles in a struggling economy: They
 
keep working families fed and in their homes until breadwinners can
get  back
to work, and they generate job-creating economic activity to help
 keep the
economy from spiraling further downward.
When Congress returns, Democrats should demonstrate the priority they
 give
to aiding the jobless by peeling the benefits extension off from a
 package
that also included an infusion of money to state governments. As  much
as
states need the funds to avoid more layoffs and service cuts
 (Massachusetts
has been counting on about $700 million), this provision  particularly
raised the hackles of deficit hawks. The money for the states  is a
fight worth
waging — at another time. Now it is more important to get  the benefit
checks
out.
Senator Brown has said he would vote for extended unemployment
 assistance
if money for it came from unused stimulus funds. But  yesterday's jobs
report proved that the economy needs both aid for the  unemployed and
the ongoing
boost that stimulus projects provide as they  come on line. Just this
week,
Massachusetts received $45.4 million in  stimulus money to expand
broadband
access in the western part of the state  where some towns have
virtually no
high-speed Internet service. Overall,  the 2009 stimulus package
includes
$7.2 billion to upgrade the nation's  data networks — and, at the same
time,
create 5,000 construction jobs.
Clearly, not all stimulus projects were shovel-ready when Congress
 passed
the bill last year, but that is just as well, since the economy  still
needs
the turbo-injection of an initiative like broadband expansion.  Brown
is
justified in his concern that extending jobless benefits will
 increase the
deficit. In the long term, that red ink must be addressed.  But job
one for
Congress when it returns will be to make sure the  unemployed keep
their
benefits — and not at the cost of needed stimulus  spending.  

© _Copyright_ (http://www.boston.com/help/bostoncom_info/copyright)
 2010
The New York Times  Company

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