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Assuming that UBI is funded from taxes, poorer people would end up with more money, richer people would make less overall, and somewhere in the middle there's a

Assuming that UBI is funded from taxes, poorer people would end up with more money, richer people would make less overall, and somewhere in the middle there's a level where the additional taxes are exactly offset by the UBI. Prices for some things may rise, but it seems unlikely that they'd rise in a way that consumes everyone's UBI. Lots of people wouldn't have any more money. Many would have a bit more money. Some would have a lot more money. Any price rise would correspond to the change somewhere in the middle of that, so people who earn less than that point would still be able to buy more. Concretely, if UBI is $1,000/month, and someone is currently struggling on $1,000/month, they're going to have more purchasing power, because that level of UBI won't double prices.

JumpCrisscross 2y ago
> it seems unlikely that they'd rise in a way that consumes everyone's UBI We really need a state or small country to trial this before writing this off on a hunch.
- bryanlarsen 2y ago
  It's a lot more than a hunch, it's standard economic principles. The standard sources of inflation are money supply increases and supply crunches. The OP specified a UBI that doesn't increase the money supply. Nor would UBI cause a supply crunch. So why would you expect inflation?
  - JumpCrisscross 2y ago
    > OP specified a UBI that doesn't increase the money supply. Nor would UBI cause a supply crunch These are assumptions. I’m sceptical of both, but think an experiment at the state or small-country level is worth a try.
    - wat10000 2y ago
      Not increasing the money supply isn't an assumption, it's a choice.
      - JumpCrisscross 2y ago
        > Not increasing the money supply isn't an assumption, it's a choice Then it works at the state or local level. My point is in interrogating the reason state and local experiments don’t scale to a national example.

JumpCrisscross 2y ago

> it seems unlikely that they'd rise in a way that consumes everyone's UBI We really need a state or small country to trial this before writing this off on a hunch.

bryanlarsen 2y ago
It's a lot more than a hunch, it's standard economic principles. The standard sources of inflation are money supply increases and supply crunches. The OP specified a UBI that doesn't increase the money supply. Nor would UBI cause a supply crunch. So why would you expect inflation?
- JumpCrisscross 2y ago
  > OP specified a UBI that doesn't increase the money supply. Nor would UBI cause a supply crunch These are assumptions. I’m sceptical of both, but think an experiment at the state or small-country level is worth a try.
  - wat10000 2y ago
    Not increasing the money supply isn't an assumption, it's a choice.
    - JumpCrisscross 2y ago
      > Not increasing the money supply isn't an assumption, it's a choice Then it works at the state or local level. My point is in interrogating the reason state and local experiments don’t scale to a national example.