What Would You Do For Work If We Have a UBI?

[Valcazar]

Which is why I figure any large scale implementation would adjust the marginal tax rates so that anyone making over some amount (60,000?) excluding UBI would just end up repaying their UBI as part of income tax.

To me that allows UBI to fulfil the goal of providing support to those who can't or don't want to work while those of us who are financially stable would essentially see no change.

That's the most reasonable way to do it assuming you are financing primarily out of income taxes.

 

[fall]

That's the most reasonable way to do it assuming you are financing primarily out of income taxes.

If it is done this way (i.e., completely taxed out at moderate or high income and/or is income-dependent), then it is no different from current welfare and social assistance programs. IMHO, the attractiveness of UBI is low administration costs (however, it will lead to a new problem of many government employees losing their jobs). In addition, to be successful, it should not alter the employment decision much (like current welfare does with 50% effective marginal tax on each $1 earned above some low threshold).

While I am not sure we can afford it, I am sure that no left-wing government would be willing to introduce it to replace all the existing government social support system because it will lose the control over the distribution of the large portion of tax revenue and we all know how liberals love to have control over our money.

 

[basketcase]

If it is done this way (i.e., completely taxed out at moderate or high income and/or is income-dependent), then it is no different from current welfare and social assistance programs. ...

There are a couple major benefits. One is that people on welfare aren't allowed to work for additional money so they often work under the table and outside of our economy. Second, it would massively simplify the bureaucracy and expenses incurred by all sorts of application and monitoring requirements. It would also eliminate the need for the Canada Pension plan and a whole host of other support services.

I would think $1000 per month wouldn't be realistic though. I'd think setting it at the poverty line would make mores sense - $20,000/a for single adults, $9,000/a for children.