remember, we've already *seen* a million jobs go. That means higher benefit spending, as well as lower tax revenue.
So yes, part of the cuts to offet those effects are through fewer public sector jobs. Which, in the short run at least, may add to unemployment, but as you say, benefits are lower than wages.
(Of course, no-one knows how long unemployment is going to stay higher than it was pre-recession for.)
Posted By: Tricky Hawes, Nov 19, 16:23:48
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