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Unemployment insurance payout per month is usually capped based on what you made at the job you had before you went on it. One assumes that will again be the ca
by throwanem 7y ago
Unemployment insurance payout per month is usually capped based on what you made at the job you had before you went on it. One assumes that will again be the case once the current crisis is considered to have ended.
Unemployment insurance payouts are also time-bound. You don't go on unemployment and stay on it indefinitely; after a few months, barring a rare and hard-to-obtain extension, the benefit ends.
- streetcat1 7y agoAgree. So I assume that most of the unemployment is in the travel/hospitality/restaurants/retail (etc). Hence, even after the economy is open, it would be hard to get those people back to work until the "enhanced" benefits run out. I.e. I expect to see a lot of restaurants/hotels open but with no employees. Or, they will be employees, but their wages will have to be increased by 50%, which would cause runaway inflation. If this happens, this might lead to spike in automation (AI).
- IAmEveryone 7y agoThe industries you mention are unlikely to be amendable to increased automation. That’s why service jobs have grown over the last decade or so, compared with manufacturing. And paying supermarket cashiers decent wages isn’t going to create inflation because it doesn’t change the total amount of money in circulation. Productivity will just be redirected from building super yachts to poorer children’s school supplies (cliches for added clarity).
- _curious_ 7y ago"One assumes that will again be the case once the current crisis is considered to have ended." Let one not assume?
- throwanem 7y agoIt wouldn't be the worst idea, which is why I'm not optimistic that it will play out that way. At best, given that states administer unemployment insurance, I would expect to see a patchwork, with many of the states where it's most needed refusing to implement it.