It would likely not be tax free. And with the risk of sounding cynical, remember that we are talking about normal people where a majority that likely will not

It would likely not be tax free. And with the risk of sounding cynical, remember that we are talking about normal people where a majority that likely will not plan-ahead that much or save up for when the last day dawns. They realize they need to find work again. Also remember that large industries or businesses tend to attract many small ones around it that depend on it, just like any eco system. Then unemployment rate goes up, people get angry, shady politicians see opportunity to gain votes from disgruntled people... And everything goes * up.