3 ms·
> Somewhat off-topic, but I must ask: does UBI not depend on expected infinite economic growth? No, a Universal Basic Income need not depend on infinite econom
by cosmojg 3y ago
> Somewhat off-topic, but I must ask: does UBI not depend on expected infinite economic growth?
No, a Universal Basic Income need not depend on infinite economic growth, and in its simplest form, it is not guaranteed to be constant, only universal. Variable subsidies are no more difficult to accommodate than variable taxes when they are similarly grounded in the economy, and while economic growth would certainly contribute to the funding of UBI, stable revenue streams exist that could, theoretically, maintain its sustainability in perpetuity. In its original conception as the Citizen's Dividend[1], UBI was to be funded in its entirety by taxing price appreciation on rivalrous inelastic goods, or "land" in the economic sense[2], which includes things like electromagnetic spectrum, clean air, seignorage, and yes, physical land. (This is the infamous "Land Value Tax" that has been making the rounds lately[3].) As such, properly implemented, UBI can be entirely nondistortionary.
> [...] wouldn't that cause the collapse of the country's economy when its workers realize there is no longer a point to laboring? At that point, who exactly is going to pay for UBI?
The way the finances work out, by the time taxable economic rents are large enough to support most of Maslow's hierarchy via UBI for all of Earth's citizens, it won't matter. At that point, energy is likely abundant enough so as to be free, and the intergalactic market economy would be little more than a game we play to keep ourselves entertained. In other words, this is a problem so far down the road that we're guaranteed to have far bigger problems to worry about in the meantime, and elevating the standard of living for as many people as possible would only help in dealing with them. Also, keep in mind, few are happy with merely surviving, and there exist many definitions of thriving. These inherent disparities in human desire are more than enough to keep the game going.
[1] https://en.wikipedia.org/wiki/Citizen%27s_dividend https://en.wikipedia.org/wiki/Citizen%27s_dividend
[2] https://en.wikipedia.org/wiki/Land_(economics) https://en.wikipedia.org/wiki/Land_(economics)
[3] https://en.wikipedia.org/wiki/Land_value_tax https://en.wikipedia.org/wiki/Land_value_tax