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The downside of cutting millionaires out of unemployment insurance



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An interesting observation from HuffPost Hill:

The new payroll tax proposal from Senate Democrats would disqualify millionaires from unemployment insurance. Doing so would save money and might win Republican support, but it could also slowly erode the commonly-held notion that unemployment compensation is an insurance paid for with payroll premiums, like Social Security retirement benefits. Instead, people might start to consider it a welfare benefit, something for poor people, which would make the program more politically vulnerable. We didn't think of that. FDR did.


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