Unemployment benefits shouldn't extend into perpetuity, but the optimal amount of time is higher than current levels.
Studies have shown that unemployed people cut back on their consumption even if they keep getting a check, which means the hardship of unemployment is sufficient incentive to find work even with unemployment benefits.
http://american.com/archive/2007/nov...s/the-theorist
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...Werning found that the unemployed naturally reduce their consumption over time, even if you keep sending them checks. This finding contradicts the belief that you have to stop benefits in order to make people feel a hardship.
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