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this post was submitted on 02 Apr 2024
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Is the verdict really in on UBI? Hasn't the concern been it would be equivalent to the school voucher coupons and justified to gut a wide variety of social services in the end resulting in less net-benefit to the working class?
I honestly don't know, but that kinda/sorta makes sense on the face of it. UBI would throw everyone at the mercy of the "free market" for social services, and yes, could have the unintended consequence of obsolescing the state funded ones. Without adequate controls for services (regulations) it could get ugly. Especially if you consider that for-profit "healthcare", as we enjoy it in the US today, covers most of these services we're talking about.
UBI is a bandaid, and not a very good one.
Sure, having more money absolutely makes life easier. I'm not disputing that and no one with any sense would. But it doesn't address the numerous problems it seeks to.
But you touched on the problem, adequate controls are needed. We can do adequate controls without UBI.
The problem with UBI is that when you do big payouts like that, they just become a target for price gouging. Everyone knows there's extra money to be had and they're going to want their cut. Your landlord is going to know exactly how much extra you're making and without rent control there's nothing stopping him from taking it. The best way to prevent that is to force him to compete for tenants.
So wait, why isn't he competing for tenants now?
Additional housing fixes the rent problem. UBI puts a temporary bandaid on it.
Universal healthcare fixes the medical expenses problem, strong unionization fixes the wages problem.
Don't get me wrong I'd love the paycheck, but it isn't the solution people think it is.
Universal Basic Income reduced child poverty by 30%.
https://en.wikipedia.org/wiki/Child_tax_credit#United_States
By making the child tax credit non-refundable it is effectively a Negative Income Tax which is a form of UBI.
All of your points misunderstand what the goal of UBI is. By guaranteeing that everyone earns a certain amount of income, the government is garaunteeing a basic standard of living. So a CTC of $3600 means that everyone is guaranteeed an income of at least $3600.
At first, there will be an inital raise in prices as a UBI will likely increases aggregate demand which will increase prices, but eventually prices would stabilize.
Of course, this only helps people with children right now, and there are barriers to filing a tax return in the United States. But the laws could be change to expand the credit, and it's completely possible for the United States to implement return free filing.