Re:America’s Dazzling Tech Boom Has a Downside: Not Enough Jobs
by jganetsk on Wednesday October 12, 2016 @11:46PM
(#12698283)
This is called helicopter money: https://en.wikipedia.org/wiki/Helicopter_money
It sucks because it is irreversible. This is unnecessary. Just have the government finance UBI. After all, people like Larry Summers, with his "secular stagnation" theory, are calling for a shift from monetary policy to fiscal policy. And I think UBI, as you say, would be a very effective fiscal policy tool.
Re:America’s Dazzling Tech Boom Has a Downside: Not Enough Jobs
by DamnYuppie on Wednesday October 12, 2016 @11:46PM
(#12698285)
I am not attacking your idea but am curious to know how is this not inflation for everyone else?
Re:America’s Dazzling Tech Boom Has a Downside: Not Enough Jobs
by ryandrake on Thursday October 13, 2016 @11:12AM
(#12701244)
UBI goes to everyone and affects everyone. Who's the "everyone else"?
Re:America’s Dazzling Tech Boom Has a Downside: Not Enough Jobs
by bryondowd on Thursday October 13, 2016 @11:49AM
(#12701559)
In other words, people who already have money would see that money devalued, perhaps very significantly and in excess of the new money they receive. I'm not terribly averse to the concept, but it would seem to be a redistribution of value that would significantly impact the wealthy. Which makes it tough to actually pull off, because they have a lot of resources to fight such a thing.
Re:America’s Dazzling Tech Boom Has a Downside: Not Enough Jobs
by jomamaxx on Thursday October 13, 2016 @04:35AM
(#12699315)
"And there are enough resources out there to make all that stuff for them "
Yes, there is.
Advanced economies are mostly service based.
Countries are poor because of lack of social organization.
Many poor countries have tons of resources (Africa).
Many rich countries (UK, Japan, Germany, Singapore) etc. - have none.
Another way to think of what I'm saying is this: there are billions of people out there in the world who want more stuff. There are lot of companies and workers who want sell those people more stuff. And there are enough resources out there to make all that stuff for them (energy for a long time was the big limiter). Obviously, there is an economic disconnect that is limiting people from getting the goods that they want and need. What's really happening is that poor people just don't have anything to trade with. The solution is to give them something to trade with.
We don't have to do a UBI. I think we would be fine if central banks did something like give the bottom 20% of income earners a one time payment of ~$20k.