China & Saudi Arabia To Extend Unemployment Benefits For U.S.

It seems another “compromise” is coming into focus for Congress, they’ll extend all tax cuts in exchange for extending unemployment payments. However, we’ll have to borrow money from foreign countries to do so – a catch 22.

What “pay-as-you-go” rule?

“I think most folks believe the recipe would include at least an extension of unemployment benefits for those who are unemployed and an extension of all of the tax rates for all Americans for some period of time,” said Sen. Jon Kyl of Arizona, the Senate’s Republican negotiator in the talks.

“Without unemployment benefits being extended, personally, this is a nonstarter,” said Sen. Dick Durbin of Illinois, the second-ranking member of the Senate Democratic leadership.

Republicans have insisted that any extension of jobless aid be paid for with cuts elsewhere in the federal budget. The White House opposes that, saying such cuts are economically damaging during a weak recovery.

Sen. Orrin Hatch, R-Utah, said Republicans would probably cede that point to the Democrats.

“Let’s take care of the unemployment compensation even if it isn’t … backed up by real finances,” Hatch said. “We’ve got to do it. So let’s do it. But that ought to be it.”

We are currently running a near $2 trillion per year deficit, feeding an enormous $14 trillion national debt, how long will we borrow from foreign governments to live beyond our means?

Government must be forced to spend only as much as it takes in, period! If we are to extend unemployment benefits, then, we need cuts in other government spending. For example: Instead of building schools and police stations in Afghanistan, why not use that money to extend unemployment benefits here in America? Or we could raise the retirement age? No, well, how about cut government workers pay?

We’re faced with tough decisions and we can’t continue to just borrow and spend, while expecting a different outcome – it’s not working! It’s time to cut government – downsize the behemoth!

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