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As I mentioned below, in this small-scale case BI looks like it increased production capacity. But it was really an injection of capital into a community that h
by waterlesscloud 12y ago
As I mentioned below, in this small-scale case BI looks like it increased production capacity. But it was really an injection of capital into a community that had almost literally no capital whatsoever. At and sometimes below mere subsistence.
Would be interesting to see it play out in a community with a higher baseline.
- gizmo686 12y agoIsn't that the proposed mechanism for how BI increases capacity? By injecting capital into low capital communities, you increase their ability to produce. Of course, to see if this is an actual increase in production, we would also need to look at the opportunity cost associated with taking that money in the first place.
- msandford 12y agoRight, that's the kicker. It's really easy for 1st world people to inject trivial (to them) amounts of capital into 3rd world places. But that's microeconomics playing out, not macro. In this case the source of the money was completely decoupled from the people receiving it. If they had to pay themselves a basic income, the story is different. Here in the 1st world any basic income which we try has to be paid by us too. It's doable. But it's not a panacea. http://www.vox.com/2014/10/8/6946565/progressive-taxes-are-not-the-solution-to-inequality http://www.vox.com/2014/10/8/6946565/progressive-taxes-are-n...