Economy

Rant

Tier V Will Not Help, But Jobs, Taxes And Tariffs Will

Posted 15 months ago|13 comments|517 views
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There are four Tiers to Emergency Unemployment Compensation (EUC) this is compensation beyond the 26 weeks Unemployment Compensation (UC) that is given by most States. Tier I added 20 weeks, Tier II 14 weeks, Tier III 13 weeks and Tier IV just 6 weeks. Extended Benefits (EB) provides 20 more weeks to the unemployed who have exhausted up to 79 weeks of regular State and Federal EUC benefits.

Tier V is the battle cry for the 99'ers, those long term unemployed who have completely run out all unemployment benefits. The thought is that additional weeks beyond the 99 weeks most Americans now get will help them when it fact it will not. Tier V will NOT help anybody, it will only delay the financial problems the unemployed will face when they become 99'ers.

99'ers of course disagree and you will see many 99'er Rants here on RantRave about their issues, some legitimate and some pure hyperbole. If you are a 99'er you know that the ONLY thing that will help you is a JOB. If you are a 99'er you no longer pay taxes, as you have no income to tax. If you are a 99'er you stopped paying into FICA and the gap in FICA taxes will make the 99'ers come up short in the 40 Quarters that we all need to have in order to claim full Social Security benefits when we retire.

The ONLY way to help the 15 million plus unemployed Americans is to force companies that outsourced U.S. based jobs to India and China to move those jobs back to the U.S. and give incentives to companies like Apple, Sony, HTC, LG and many others to open production plants here in the U.S. the same way Honda, Toyota, Hyundai and the others did.

Stop all Tax Breaks to companies that outsource jobs outside the U.S. If they want to SELL in America they need to HIRE and BUILD in America. End Free Trade with all Countries. Repeal NAFTA and CAFTA and any other such agreements. Put Taxes and Tariffs back in place on EVERYTHING that comes into the U.S. from EVERYWHERE, in particular China.

We have over 15 million Americans that are unemployed, but we do not have 15 million jobs available. The sooner we get Americans back to work the better off we all will be. Feel free to forward this message to your local and State politicians, as JOBS are what we desperately need them to focus on.
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COMMENTS
justlogic
justlogic
14 months ago: I thought this was a great article. The I disagree with only a small portion.

I think adding additional tiers would be beneficial until the long term solution of jobs is addressed. The solutions you mention above are excellent.
aschott
aschott
Hazleton, PA
14 months ago: I agree because not all employers are willing to hire 99ers or people who have been out of work for a very long time. The money we get in unemployment helps us in many ways. If there are jobs out there, please tell me so I can apply to them.
Out Of The Box
Out Of The Box
 Moderator
14 months ago: If all this is done, get ready for a huge jump in the price of everything.
14 months ago: I agree with Out. What happens when the price of a TV, cellphone or computer goes up 400%? People will not be able to buy them. American workers demand so much $$$ that it will drive the prices sky high.
justlogic
justlogic
14 months ago: Well, if it happens at the speed of congress, there should be plenty of time for adjustment.

Overtime more manufacturing would resolve too many people chasing to few goods (inflation)
Out Of The Box
Out Of The Box
 Moderator
14 months ago: But we can all agree that labor cost, regulations, taxes, and employer contributions (benefits) are what drive prices up here at home?

And what would keep the economy from imploding while waiting for the production to be brought back up? It would have to an extremely regulated process, in which the government oversees everything.
14 months ago: OotB if that was the case why are Japanese cars cost the same if they are built in Japan or the U.S.?

If the U.S. took away all the tax breaks and loopholes and added significant taxes and tariffs to imports then the manufacturers would have no choice but to invest in manufacturing plants in the U.S. It's a model that works well for cars, so it should work well for anything else too.

The U.S. is a nation of consumers and the manufacturers that outsourced all the U.S. jobs to China NEED us. If taxes and tariffs are raised high enough then the benefit of cheap labor in China is lost because it would cost the same, if not less to produce product in the U.S.

The Bush Tax Cuts created ZERO JOBS. At least taxes and tariffs on imports are an idea that should be bipartisan and should be easy enough to pass legislation on if both sides would work together on it.
Out Of The Box
Out Of The Box
 Moderator
14 months ago: Japanese auto workers are among some of the highest paid in the world. The average salary, not including benefits, is around $52,000. Nissan also covers 80 percent of workers' medical bills, entitles workers to 20 vacation days, and adds up to $49 in extra compensation a month for dangerous and skilled jobs." Also, the currency exchange rate, and shipping costs ($1000-$1800) add to the bottom line. Also, while there is not a tariff on the actual car, the US government charges a cash flow out tax, (higher than income tax) to prevent foreign car importers to claim that they made no profits.


As noted by former Reagan economic adviser Bruce Bartlett, "the Bush plan was a hodge-podge of tax gimmicks designed more to win the support of various voting blocs than stimulate growth. The only supply-side element was a modest reduction in the top statutory income tax rate from 39.6 percent to 33 percent — higher than it had been during Bush's father's administration — that would be phased-in over a number of years."

Also, his increasing the minimum wage by 14%, 12%, and then 11% killed over 500,000 part-time jobs.

All in all, in order to keep our prices as low as they are, we would have to accept a lower standard wage, decrease production costs by relaxing environmental and safety standards, and start making cheap junk that is designed to fall apart after three months.
Out Of The Box
Out Of The Box
 Moderator
14 months ago: Another thing we haven't discussed on this thread yet is the fact that the American dollar is based solely on our ability to consume. Not gold, not what we produce, but on our ability to buy what other countries produce. It is backed only by the faith and credit of the United States. Put another way, it is only as valuable as the trust people put in it. When we quit buying what the other countries are selling, then worldwide, our currency will be worthless.
justlogic
justlogic
14 months ago: I think we agree on a lot more than we disagree on.

I support extended unemployment benefits, because this is going to take years to work out of.

Right now the plan in congress seems to be to remain in a stalemate.

America needs to start shutting down the import machine.
The best social program in the world is a job.
But there are not enough jobs to go around right now.

We can't tell americans, hey, good luck out there buddy and just walk away.
There needs to be a system of support while jobs are bought back.
sunny2
sunny2
Content Removed by sunny2
sunny2
sunny2
14 months ago: Good article, Cully Wanted to add that some of the manufacturing companies around that are small businesses can't even pay their bills. I can read the handwriting on the wall as it is inevitable that more layoffs will be coming our way and unemployment will rise. There has to be somebody in Government with a plan that can get this economy going again. The worse tragedy is that the Government stopped listening to the people.
Justlogic - good comment, also. Government will continue to keep everything a stalemate. It is a shame we can't count on this Country's politicians to see to it that Americans are treated right.
sunny2
sunny2
14 months ago: Correct to read. I want to add...
sunny2
sunny2
14 months ago: Has anyone checked the price of food and gasoline lately. Prices are already going through the roof. I wish there is a Tier 5, so I can finish this medical course I'm taking, and I can get a job possibly to buy some things that are really needed. Maybe I can even get my car fixed.

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