Re:Robots Rule at Swiss Factories as Strong Franc and Wages ...
by coldtea on Friday February 17, 2017 @02:00PM
(#13670760)
>The basic income is a terrible idea that could be a great idea with a few tweaks. One of the worst economic policies is minimum wage, it attempts to help the poor but at the cost of a loss in some jobs
Or so neoliberal economists say. It's not clear cut at all.
Re:Robots Rule at Swiss Factories as Strong Franc and Wages ...
by eigenvalue on Friday February 17, 2017 @02:48PM
(#13671123)
The scheme you suggest is also called a negative income tax, and was espoused by Milton Friedman.
The basic income is a terrible idea that could be a great idea with a few tweaks. One of the worst economic policies is minimum wage, it attempts to help the poor but at the cost of a loss in some jobs, and some of it's benefits to upper middle class (kids and wives) that don't need it. It's inefficient, and can be counterproductive for those most in need.
Those at most risk of losing jobs because of it are the ones that need it the most, unskilled, single parents, etc. An employer is biased keep jonny college kid over suzy single mom when they cut a position, because jonny might come back as a manager after finishing school. Minimum wages also can create that situation where it's so damn hard to get that first job that you need to get your next job.
A minimum wage that is paid for by the government is a far better option. As long as you work, we don't care what your employer pays you, $4, $8 hour, you should get government benefits that round you up to a living wage based on your life situation. Which means more for the single parent, a little bit less for the single worker, and nothing for the high school/college kids living at home or executive wife taking a second job.
And this means more jobs, and makes it much easier to find employment (and have job mobility). Also more jobs means more output, which means higher GDP.