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State cutoffs of jobless benefits had little effect on unemployment

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20.08.2021

Only eight of the 26 states that ended federal jobless benefits early saw a statistically significant drop in unemployment in July, according to Bureau of Labor Statistics data out Friday.

Nine states and the District of Columbia that did not end the benefits also saw statistically significant drops in unemployment, muddying the waters as economists, policymakers and labor advocates are searching for any indication of the ramifications of some governors' decision to cut off emergency unemployment insurance before its Sept. 6 expiration date.

The governors who made the move, largely in Republican-controlled states, cited employer complaints of worker shortages, some of which they attributed to generous unemployment benefits.

Georgia, Louisiana, Texas and West Virginia experienced a 0.3 percent drop in........

© Politico


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