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Long-term gain worth the pain?

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Long-term gain worth the pain?

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If the 80s were anything to go by, benefit cuts could create more jobs, according to Nick Crafts in the Financial Times. Nick was commenting on the FT investigation into the effects of welfare cuts on local economies. He stated that the new measures would reduce the ratio of benefits to wages, reversing the widening gap between rising benefits and squeezed earnings in recent years, and may generate new employment.