4 ms·
Raising real income for workers by taxing capital holders and high income individuals does not necessarily cause inflation. One could argue that many ailments
by lumost 5y ago
Raising real income for workers by taxing capital holders and high income individuals does not necessarily cause inflation.
One could argue that many ailments of the US economy are due to the skewed income distribution. UBI schemes are a blunt method of altering the distribution.
- b9a2cab5 5y agoSure it does. By redistributing it from people that don't use it to people that do, you increase the velocity of money. Inflation is a function of velocity * supply, ergo redistribution causes inflation. But I'm not talking about that kind of generalized inflation, I'm talking about inflation specific to rent prices. If landlords hold an oligopoly, any increases in real purchasing power will be absorbed by rents. That is what has happened in the SFBA and what will happen if UBI gets implemented.