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UBI without the U is just welfare, which is fine, but it's kind of odd to say that UBI would be better if we just did "thing that makes it by definition no longer UBI."

I totally agree with you on re: inflation, though. Some organization, presumably government, will need to manage any UBI implementation, and government is nothing if not an inefficient allocator of its resources. I worry any broad national UBI system will just raise inflation to absorb the prices, while increases tax on the entire population, and losing a non-trivial percentage of that increase in the transfer.



Assuming we don’t want to MMT / money printer this, to keep a balanced budget, any UBI system would have to be accompanied by an increase in taxes.

These taxes would presumably be very progressive.

This effectively would end up more than negating the effect of UBI on the richer people, thus turning it into a directed welfare program.

UBI and directed welfare are essentially same same.


In US, these taxes wouldn’t be particularly progressive. US taxes are already very progressive, much more so than in Europe. In US, the wealthy already pay overwhelming majority of the tax. If US was to embark on European level governmental spending, it would have to introduce more European-like taxation system, where bulk of the revenue is collected from middle and working class.


20%+ VAT baby.


Exactly, I came to say the same thing. You could pay for UBI with some MMT trick, but you‘d just end up inflating/rescaling all the prices. It would only work as a massive wealth redistribution program where the rich and middle class get heavily taxed. The latter is infinitely more difficult to implement than the former, but technically both would be UBI.




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