3 thoughts on “Debate: Should we support a Universal Basic Income?”

  1. Posted 08/10/2018 at 22:42 | Permalink

    the strongest argument against is that the state is replacing the role of the family. The primary economic responsibility is the division of labour and the redistribution of income between members (spouses/partners, parents and children etc). Basically, ubi supporters are saying that the state should give all those who do not receive an income in their own right an income instead of it being provided by the family. The family is the basic unit of organisation within society, for the state to take over its functions is disastrous.

  2. Posted 09/10/2018 at 21:47 | Permalink

    Markets work best when everyone is compensated for the harm/loss of opportunity others cause to them. When this doesn’t happen, we bake in excessive inequalities and resource misallocation.

    In order for this to happen, we need laws, regulations and indeed taxes and re-distributive spending.

    In this context, the UBI shouldn’t be viewed at a State handout, but simply part of the compensation we are all owed along with wages and the payment of goods and services.

    A loss of opportunity occurs when we are excluded from using natural resources. Harm is done via activities that pollute and congest the environment.

    Thus the rental value of natural resources, Pigou Taxes, user fees and other royalties should be collected and paid out as an equal share as part of what we are all rightfully owed.

    If this was done, taxation of incomes, capital and transactions wouldn’t be necessary. Indeed, a Poll Tax would be the only fair and necessary way to fund the services the state provides.

    So citizens all end up getting their exact dues, and so would the state.

    This is what the UBI could and should deliver.

  3. Posted 12/10/2018 at 14:58 | Permalink

    If UBI is not going to be either extremely low or unaffordably expensive, it will have to be withdrawn at a high marginal rate as people start earning, probably at least as high as the current 63% withdrawal rate for universal credit. The trouble is that it will no longer be benefit withdrawal but income tax. Assuming we don’t want the standard rate of tax to go up for people on average earnings, we will end up with a marginal rate of tax which FALLS sharply as incomes rise. Can’t see how this could be sold politically.

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