Nancy Pelosi says that Unemployment Checks Expand the Economy

You have to look at those things from a logical point of view, which is what the government does. Unemployment checks do not boost the economy, but they help the economy stay afloat. Unemployment checks are bad for the government's budget, but not for the economy. If you give $1000 to a rich guy, he will invest it or put it in his saving account. It does nothing in the short term for the economy. But give $1000 to someone poor who has been living without things, and he'll go shopping, which in turn will boost the economy. That is what the Australian government did 2 years ago when we were about to be hit by the financial crisis. The government gave a $900 cash check to every taxpayer and every pensioner. Everyone went shopping and no more financial crisis. Since we live in a civilise country where it is not PC to let your citizen die. You simply don't have a choice. If you don't give them a unemployment check to survive, they will start getting sick. And the medical bills will cost the government twice as much as the unemployment checks. So all in all, unemployment checks are good for everyone. - Good for the unemployed - Good for the economy - Good for the government - Good for everyone relying on the economy to make a living.

I've heard that each dollar spent for unemployment $1.60 is generated into the economy. That didn't come from Nancy Pelosi but from economists. If she said it's $2, either she's exaggerating or got her information from a different source. Whatever the case, unemployment checks certainly do help the economy whether you want to believe that or not. If people who can't find work don't at least get an unemployment check, what are they to do? Some are fortunate to have another source of income in their household but these days there are many couples where both parties are out of work through no fault of their own. If someone has no income, obviously they spend no money. If they owe money for rent, a mortgage, utilities, etc., they won't be able to pay so those folks won't get their money. Once they get threatened with eviction and having their power, heat, water, etc. shut off maybe they'll qualify for welfare. Meanwhile, if they get sick, they'll have to go to the ER although they have money to pay the bill. Detroit may not be the most economically sound city in the US but just imagine what it would be like if there were NO unemployment checks! Annie

You just aren't paying attention Ted. See, for every dollar of unemployment money you get, another dollar materializes for you to put into the economy. The growth is pretty well guaranteed. That's why Detroit is a utopia and Pelosi's home state of California has record budget surpluses right now.

I get it now. Haha, $1.00 spent back into the economy and $1.00 put on credit cards. So $1.00 spent on bills and another $1.00 to add to personal debt of the unemployed.

When I heard that I wondered just how stupid they think we are. That statement goes against all common sense and yet I hear people agreeing with her. Those are the same people that think that all that money somehow magically appeared and did not come out of the pockets of the taxpayers. I never like Mrs. Pelosi politically but I actually dislike her personally during this past couple of years. She holds the American people in contempt and I think she wants this country destroyed. That, or she has an two digit IQ.