640,000 Americans will run out of unemployment insurance by the end of September. By the end of 2009, it is estimated that an additional 1.5 million people will exhaust their benefits.

From an economic standpoint, studies show that every dollar of unemployment benefits result in over $2 of economic activity.  By this argument, the government should extend benefits to help stimulate the economy.

If Congress passes an additional extension of benefits, it would be funded by the Federal government.  In other words, taxpayer dollars (as opposed to employer payroll taxes) would be the source of these new payments.

Alternatives to an extension include government job creation, tax rebates, or funding of career training programs.

What do you think?  Should Congress vote to extend unemployment benefits?

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