Flashback: Pelosi Claimed Jobless Benefits Were Economic Stimulus
Spencer Davis Group, popular in the bumper music rotation, give me give me give me some loving, 1965.
Let me give you more from Nancy Pelosi. First, she did say, this is a quote. This is not a paraphrase. “Unemployment benefits are creating jobs faster than practically any other program. It injects demand into the economy.” Now, is it even worth our time to stop here and parse this? Unemployment benefits are what? Maybe for the low-information voter crowd we should do this. What are unemployment benefits? Unemployment benefits are checks you get when you don’t have a job. What is not happening when you don’t have a job? You’re not working.
So we can conclude, then, that unemployment benefits are paid to people who are not working. And when they’re not working, what are they doing? They’re watching television, or they’re reading TMZ, or they’re playing video games. Now, granted, they’re going out and buying stuff, Jack Daniels, Smirnoff Ice, chips, lottery tickets and so forth. So there is economic activity taking place. But again, now, for the low-information voter, where are the unemployment benefits coming from? That is money that is already in the economy. It’s not new money.
So if the unemployed, low-information voter is going out and buying some Smirnoff Ice and chips, it’s not Smirnoff Ice and chips that would otherwise not have been bought. If the unemployed were working, he’d still be buying the Smirnoff Ice and chips. So it’s a dead wash. At the same time, there is no economic productivity taking place on the part of the unemployment low-information voter. Low-information voter, unemployed, is not working. Therefore, he’s not accomplishing anything. There is no task being completed. And therefore economists call that economic output. There isn’t any.
And yet Pelosi is saying that unemployment benefits are creating jobs faster than practically any other program. Paying people not to work creates jobs. Nancy Pelosi. Not only that, paying people not to work creates jobs faster anything else we could do. Now, they’re not working, by definition. They can’t be working and getting unemployment checks. But Nancy Pelosi is telling us that unemployment checks create jobs and injects demand into the economy that wouldn’t otherwise be there, which none of those things are true.