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Tuesday, November 30, 2010

More shameless economic idiocy from Republicans

Sorry if I sound like a broken record but stupidity like this is stunning. This tgime it's John Shadegg of Arizona who is fortunately retiring. Unfortunately his replacement is no better.

BARNICLE: What about the fact that unemployment benefits pumped into the economy are an immediate benefit to the economy? Immediate…

SHADEGG: No, they’re not! Unemployed people hire people? Really? I didn’t know that.

BARNICLE: Unemployed people spend money Congressman, ’cause they have no money.

SHADEGG: Aha! So your answer is it’s the spending of money that drives the economy and I don’t think that’s right. It’s the creation of jobs that drives the economy…Actually, the truth is the unemployed will spend as little of that money as they possibly can. Job creators create jobs.

BARNICLE: Have you ever been unemployed? Have you ever been unemployed?

SHADEGG: Yes, I have.

BARNICLE: What did you do with the money? Save it?

The average unemployment check is $290 per week. The people who's unemployment is about to expire have been unemployed for at least 6 months. Does this idiot think they are living off trust funds and saving their $290 a month. Jobs are created by increased demand for the products produced by the job creator. If demand drops you can lower taxes to 0% and companies will still not hire. It's that simple.

Let's all shed as tear for Shadegg who will be unemployed in a month. He'll be getting a comfortable pension as well as Social Security so he won't exactly be living from check to check.

It's a pity the interviewer, Mike Barnicle who should know better. It's been shown that every dollar of unemployment creates about $1.60 in economic activity but every additional dollar received by someone earning over $250K creates about 40 cents of economic activity.

Also notice the little lie that Shadegg snuck in there saying accusing Obama of raising taxes. No such thing has happened. In fact part of the stimulus was a tax break for 95% of Americans but few know that because we are all being buried in the bullshit that spews out of people like Shadegg.

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