Call it what you want, but letting the tax system work rather than using cumbersome eligibility requirements for each welfare program is fair and efficient
Raises an interesting question of whether cheaper childcare (the current policy focus) is an inferior pursuit to just reducing the EMTRs and raising the payments for families with children of childcare age.
Although I also understand there's some sort of big literature on the benefits of early childhood education and some countries like France go down the path of making that free. So not sure how that plays out in those competing policy priorities
Put this on your twitter post but I thought I'd put it here. Might be clearer to explain with more space.
Wouldn't a UBI translate into, essentially, a wage subsidy for businesses ? Doesn't it effectively absolve business of its (admittedly shaky) social contract to pay liveable wages ?
Eg: someone is working a low-skill job on, say, $50k/yr and getting by. A $30k UBI comes in. Their employers fires them, then rehires them for $20k, which when added to the $30k UBI leaves them in a net unchanged position.
The employer, however, has saved $30k (simplistically) off their salary costs for every worker they can do this with.
(For the sake of argument ignore the legally questionable fire/rehire process.)
Raises an interesting question of whether cheaper childcare (the current policy focus) is an inferior pursuit to just reducing the EMTRs and raising the payments for families with children of childcare age.
Although I also understand there's some sort of big literature on the benefits of early childhood education and some countries like France go down the path of making that free. So not sure how that plays out in those competing policy priorities
I reckon cash for kids is better than childcare because it buys so much flexibility on so many margins for families with young kids.
Put this on your twitter post but I thought I'd put it here. Might be clearer to explain with more space.
Wouldn't a UBI translate into, essentially, a wage subsidy for businesses ? Doesn't it effectively absolve business of its (admittedly shaky) social contract to pay liveable wages ?
Eg: someone is working a low-skill job on, say, $50k/yr and getting by. A $30k UBI comes in. Their employers fires them, then rehires them for $20k, which when added to the $30k UBI leaves them in a net unchanged position.
The employer, however, has saved $30k (simplistically) off their salary costs for every worker they can do this with.
(For the sake of argument ignore the legally questionable fire/rehire process.)
But how will the financial planners earn a living if the system is simplified?