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A Daily Chronicle of Bush Administration Distortion December 12, 2003
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"More Cash in People's Pockets" Not Extended to Unemployed



President Bush has promoted and defended his tax cuts by saying that "when Americans have more money in their pocket to spend, to save or invest, the whole country benefits and someone is more likely to find a job."1 But the president has apparently not applied this thinking to unemployment benefits, which are likely to be spent quickly as emergency funding for families without other income. The Republican Congress is allowing unemployment benefits to expire over the holidays, even as the percentage of chronically unemployed is its highest in more than 10 years.

The president argued as a candidate and through his first year in office that, "it is compassionate to actively help our fellow citizens in need."2 But the president's unwillingness, for the second time in two years, to promote the extension seems to undermine that rhetoric.

Ultimately, the responsibility for passing the extension lies with the Republican Congress, whose leaders have argued that extension of benefits is unnecessary because of the improving economy. But new jobless claims unexpectedly went up last week, the highest level in six weeks.3

The president has asked Congress in the past, sometimes forcefully, to take action on bills he considers a priority, most recently when he asked Senate Majority Leader Bill Frist to reconvene the Senate to vote on the omnibus appropriations bill.4 (Frist declined.) In fact, when running in 2000, Bush chastised the Republican House for proposing to eliminate tax credits for working families in order to save money, saying, "I don't think [Congress] ought to balance their budget on the backs of the poor."5 But in this instance, the White House has simply reiterated its line on jobs, saying yesterday, "as long as there are people looking for work who cannot find a job, there is more that we need to do," and that, "we'll continue working with Congress on that issue."6

The number of chronically unemployed is at an 11-year high, with over 2 million active job seekers out of work for 27 weeks or more7 -- more than 50 percent greater in October 2003 than in March 2002.8 The Center for Budget and Policy Priorities The Center for Budget and Policy Priorities estimates that between 80,000 and 90,000 workers per week will lose access to benefits.9

Sources:
  1. Presidential Remarks at Bush-Cheney '04 Luncheon, 6/30/03.
  2. "White House Fact Sheet: Compassionate Conservatism," 4/30/02.
  3. Jobless Claims Up Unexpectedly Last Week," Reuters, 12/12/03,
  4. "After Democrats Object, Senate Delays Vote on Spending Bill," Washington Post, 12/10/03.
  5. "Bush Criticism Of GOP Proposal Surprised House," Washington Post, 10/2/99.
  6. Press Briefing, 12/11/03,
  7. Bureau of Labor Statistics.
  8. "Congressional Leadership Pushes for Extending Expiring Tax Breaks, but Ignores Expiring Unemployment Benefits," Center on Budget and Policy Priorities, 11/25/03.
  9. Ibid.



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