3 ms·
UBI has to be done with a tax policy, basically, you give everyone $10k (as the article nominates as a figure), but you'd tax that back off a lot of people. Id
by keithnz 4y ago
UBI has to be done with a tax policy, basically, you give everyone $10k (as the article nominates as a figure), but you'd tax that back off a lot of people. Ideally you tax it back based on wealth rather than income.
- legitster 4y agoI understand that. Again, this is seperate from the funding issue. You give everyone in America $10k dollars. At the end of the year you take that money back from 3/4 of them in taxes. But for 11/12 months, all that money is in grocery stores driving up prices. You could be in a situation where you increase the baseline cost of living $10k in America (very regressively) and increase the tax burden.
- lamontcg 4y ago> But for 11/12 months, all that money is in grocery stores driving up prices. That just clearly isn't how it would work. If I'm at the break-even point on taxes then the government will be sending me $833/mo checks to my bank account while my work will be withholding $833/mo extra from my paycheck. That has no real effect on my spending habits and won't drive any inflation. Even if it was an annual lump sum with no additional withholding, where does the money to pay the taxes at the end of the year come from? You'd take next years UBI to pay off last years taxes and from then on it is net zero extra spending.
- Gigachad 4y agoDoes America not have some form of Pay As You Go system where the taxes are collected continually based on the estimation of your earnings and then corrected at the end of FY?