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This can very easily be solved by making it inflation adjusted (i.e. the value increases with inflation every year). This happens for instance with many social
by inflagranti 6y ago
This can very easily be solved by making it inflation adjusted (i.e. the value increases with inflation every year). This happens for instance with many social contributions in Switzerland and is IMHO the only reasonably way to set such value.
- millstone 6y agoIf you set UBI as inflation-adjusted, then there is no viable political mechanism to reduce it. "Cut everyone's income!" is a losing political message, forever ever. Inflation is the pressure release valve that allows quietly cutting real costs. Every employer, business, government relies on this. It's why the Fed targets low but positive inflation.
- apexalpha 6y agoI don't know. In Europe almost all of these things (welfare, social security, minimum wage) have been tied to inflation since forever. Sometimes they get cut, sometimes they get raised.
- account42 6y agoYou "reduce" UBI by increasing income taxes - that way the reduction only affects thos who can afford it.
- fvdessen 6y agoIn Belgium a lot of stuff (salaries, rents, social welfare) is tied to inflation, and sometimes we do 'Index Jumps', where we simply don't index for a year.
- isolli 6y agoBelgium is fairly unique in that respect. If I remember correctly, it also takes into account the evolution of salaries in neighboring countries (France, Germany) when deciding collective salary increases.