Wednesday, January 09, 2008

3 OUT OF 8 ISN'T BAD

McClatchy reports that there are major 8 steps proposed to help forestall the looming nationwide recession. 3 are good ideas for immediate relief:

Extending unemployment insurance: The 2001-2002 stimulus extended unemployment benefits by an extra 13 weeks. Temporary extensions give immediate income to workers who've lost jobs while they seek others, boosting consumer spending.

Expanding food-stamp programs: This provides immediate relief for the poorest and is felt in the economy within 60 days, according to the Congressional Budget Office.

State fiscal relief: Many states have balanced-budget requirements. When tax revenues fall, states must raise taxes or cut spending, both of which further slow the economy. The federal government could provide more direct aid to states, and/or temporarily increase the federal share of Medicaid costs and reduce the states' share.

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