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I don't know enough to form an opinion, but a question comes to mind (actually, same question comes to mind whenever minimum wage increases come up)... What sto

by dicroce 11y ago

I don't know enough to form an opinion, but a question comes to mind (actually, same question comes to mind whenever minimum wage increases come up)... What stops everything from simply getting more expensive and offsetting the BIG?

deleted 11y ago
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Detrus 11y ago
I don't know either but it seems like yet another way of doing inflation. You can infuse money various ways and to various sectors of the economy. Quantitative easing, playing with interest rates, funneling 401K into stock indexes gives it to the rich. And prices for what they buy or where they live go up. The expectation is more money moves around, doing something useful. BIG should do the same for consumer goods and poor areas, increasing prices and maybe increasing economic activity.
mrfusion 11y ago
Here ya go https://medium.com/basic-income/wouldnt-unconditional-basic-income-just-cause-massive-inflation-fe71d69f15e7 https://medium.com/basic-income/wouldnt-unconditional-basic-...
- 0x49 11y ago
  I read the article and i just dont agree on some points. One point is that basic income would mean an increase in new businesses forming. The problem is that while yes, more people will have the ability to start a business. The increase burdon of taxes and most likely, regulations that go along with it, will make it difficult to move from the startup phase to actually running a profitable company. Countries like denmark and sweden are great examples of this in action: small companies are scarce,the majority of investors avoid them, and most people either work for the government or a large company.
  - BBlarat 11y ago
    Do you have any links to back up your claim about sweden and denmark? I live and work in Sweden and my view is that there is great many small companies here.
AJ007 11y ago
I have been hoping to read an article that made a good case for basic income but everything I've seen so far appears to be written by authors with a rudimentary understanding of both economic systems and human behavior. If you gave a flat distribution of income to a large population set my suspicion is that the money would flow in to housing. Depending on the underlying structure of the particular housing market(s), and the regulatory structure for those market(s) would determine what actually would happen -- better housing, worse housing, the same housing but higher rents, etc. The other stuff the supply should be elastic enough as to not drive up prices and in some cases would even result in lower prices. Note, if the basic income was applied at a flat rate globally that absolutely wouldn't be the case.
- dllthomas 11y ago
  Housing is pretty cheap. What's expensive is housing near steady income. A basic income dramatically increases supply of "housing near steady income".

by dicroce 11y ago

deleted 11y ago

[deleted]

Detrus 11y ago

I don't know either but it seems like yet another way of doing inflation. You can infuse money various ways and to various sectors of the economy. Quantitative easing, playing with interest rates, funneling 401K into stock indexes gives it to the rich. And prices for what they buy or where they live go up. The expectation is more money moves around, doing something useful. BIG should do the same for consumer goods and poor areas, increasing prices and maybe increasing economic activity.

mrfusion 11y ago

Here ya go https://medium.com/basic-income/wouldnt-unconditional-basic-income-just-cause-massive-inflation-fe71d69f15e7 https://medium.com/basic-income/wouldnt-unconditional-basic-...

0x49 11y ago
I read the article and i just dont agree on some points. One point is that basic income would mean an increase in new businesses forming. The problem is that while yes, more people will have the ability to start a business. The increase burdon of taxes and most likely, regulations that go along with it, will make it difficult to move from the startup phase to actually running a profitable company. Countries like denmark and sweden are great examples of this in action: small companies are scarce,the majority of investors avoid them, and most people either work for the government or a large company.
- BBlarat 11y ago
  Do you have any links to back up your claim about sweden and denmark? I live and work in Sweden and my view is that there is great many small companies here.

AJ007 11y ago

I have been hoping to read an article that made a good case for basic income but everything I've seen so far appears to be written by authors with a rudimentary understanding of both economic systems and human behavior. If you gave a flat distribution of income to a large population set my suspicion is that the money would flow in to housing. Depending on the underlying structure of the particular housing market(s), and the regulatory structure for those market(s) would determine what actually would happen -- better housing, worse housing, the same housing but higher rents, etc. The other stuff the supply should be elastic enough as to not drive up prices and in some cases would even result in lower prices. Note, if the basic income was applied at a flat rate globally that absolutely wouldn't be the case.

dllthomas 11y ago
Housing is pretty cheap. What's expensive is housing near steady income. A basic income dramatically increases supply of "housing near steady income".