Why should one be forced to pay rent or buy food? Just try to live independently in the US, it's not possible. If you want to buy land and grow your own food, the first thing to notice is that property taxes are actually a rent paid to the state. In many areas you're forced to hook up to the city water/sewer system, which is another form of rent.
People keep bringing up "basic income" which I think is crap. How about we try to reduce the cost of existence instead, so people can get off the economic treadmill? Then we can work up to our level of comfort rather than have people at the bottom struggle to survive. Everyone would be happier except those who strive to exploit the labor of others.
I do not advocate welfare with this, just elimination of as much financial pressure as possible. Eliminating rents is the first step IMHO. This includes phasing out mortgages, which are rents on money that only serve to inflate home prices thereby increasing demand for loans. On this point I am not totally convinced, but I think gradually reducing the percent of sale price than can be borrowed would be a start. I don't know if lowering that to zero is actually optimal, but I suspect 50 percent would be better than where we are today.
Well, you're not. You don't have to exist. I kinda like existing, though.
Yes, yes, utopian society and all that. It's the way things exist now, and while it can be fun to imagine a world without it, it's not entirely practical when trying to figure out a problem for those displaced from automation.
"I do not advocate welfare with this, just elimination of as much financial pressure as possible. Eliminating rents is the first step IMHO. This includes phasing out mortgages, which are rents on money that only serve to inflate home prices thereby increasing demand for loans. On this point I am not totally convinced, but I think gradually reducing the percent of sale price than can be borrowed would be a start. I don't know if lowering that to zero is actually optimal, but I suspect 50 percent would be better than where we are today."
So nobody but the uber wealthy can buy houses? And how do you eliminate the rent when I live in an apartment?
Adjust that so nobody but the wealthy can afford to build a NEW house. We already have it that the poor generally buy used cars (or buy with bad deals, negative equity etc...). If there were no loans then there would probably be an eventual housing shortage, but we currently have people over extending themselves just to get in the game.
As housing prices fall, your rent will too. But I'm in favor of doing as much as possible to eliminate rentals as well.
As an example, look at the housing bubble forming in the bay area. If people had to put down 50 percent of the purchase price, they would not be able to afford todays prices and the prices would come down.
Housing shortages tend to RAISE prices, not lower them. And no, I'm not going to adjust my statement, as it reflects current reality. You adjust your response.
"As housing prices fall, your rent will too."
There's not much to indicate this would be true.
"But I'm in favor of doing as much as possible to eliminate rentals as well."
So while I'm busy not being able to buy a house, where do I live?
"As an example, look at the housing bubble forming in the bay area. If people had to put down 50 percent of the purchase price, they would not be able to afford todays prices and the prices would come down."
That's assuming there aren't people buying those houses.
- Pensions
- Alaska Permanent Fund
- Child tax credits
- Stimulus cheques
- Social Security
- Welfare
Maybe the phrase "basic income" is too closely associated with socialism... in that case, call it an automation tax credit or something. Once people start receiving the cheques, they'll realize that it's a pretty good deal— kind of like the ACA.
The United States House of Representatives passed a Basic Income bill written by Richard Nixon in 1969. https://www.youtube.com/watch?v=6vHYFzYvCak
I absolutely despise this argument, because it usually forgets that you can have all the time in the world, and it won't matter if you can't pay your rent or buy food.