What happened that led to budget cuts?

Answer 1

This depends on the country you're living in. If you are referring to the United States, one of the major reasons why the unemployment benefits have been cut is due to what is now known as the budget crisis. The United States has been spending trillions of dollars it does not technically have and now has massive, crippling debt. The Government is starting to realize the dire situation, and is taking action to cut spending. Unfortunately, the bulk of the Government's spending comes from social programs, like welfare and unemployment. These two areas will continue to see massive cuts to balance the nation's checkbook.