A jobless prescription that fails to address the illness

Paul Krugman and Todd G. Buchholz. One of these men is a Nobel Prize-winning economist. The other is not. And the one is not has the temerity to not only cavalierly blow off the Nobel Prize-winner’s explanation of the economy’s present woes but suggests replacing unemployment benefits with vouchers … umm a ‘signing bonus.’

Buchholz’s disconnect comes as no surprise. According to the ID tag line, he was a White House economic adviser to George H.W. Bush and a former managing director of the Tiger hedge fund. It’s not just that elected officials in Congress have put the needs of a few bond-holders over the needs of the many, it’s also the fact that job seekers are experiencing a systemic bias against the unemployed. The problem isn’t that the unemployed want to live on government benefits. The problem is that employers won’t hire them. A point made quite baldly recently by Sony Ericsson when it told job-seekers in a job listing "No unemployed candidates will be considered at all." An ad for Beacon Hill Staffing Group in Boston told prospective paralegals that “to be considered, candidates must be currently employed."

Some lawmakers, such as New York State Sen. Andrea Stewart-Cousins, have grasped the enormity of the problem and are considering legislative remedies to the problem. The Equal Employment Opportunity Commission is also taking a look into the issue to see how extensive the problem is and who, exactly, is being hurt (most likely minorities).

But with the Republican Congress playing chicken with the debt ceiling (and risking default) and engaging in “right wing social engineering” the prospects for any meaningful fix to the economy that benefits Main Street remains dim.

Clearly it doesn't take Nobel Prize-winning economist to see that the economy in general, and American workers in particular, are both in trouble. But the causes of the trouble are beyond Buchholz’s grasp. It’s easy to offer a solution for unemployment when you have a job. In the current environment, having a job is the only way to get a job. One can only hope that if Buchholz’s remedy is adopted, he’ll get a first-hand taste of unemployment and have to swallow is prescription whole.