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by pjmorris2 hours ago |
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upvoteby elevatortrim31 minutes ago|
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Not sure if that would work better:

1. The idea behind UBI is that it is near-zero effort, the cost to operate UBI should be minimal. UBW cannot be low overhead I suppose. 2. What motivation do I have to do the work if I can’t get fired?

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upvoteby neilwilson11 minutes ago|
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You have to work if you want to get paid. Otherwise you will get fired. The obligation of the state is to provide you with a guaranteed alternative job offer, not a guaranteed income.

It’s up to you if you take up the state’s offer or not.

The UBI removes the motivation to work and turns everything into volunteering. The result is a rise in the “reservation wage gap” - the amount the private sector has to pay to get people to work for them.

The reservation wage gap with a job guarantee is near zero - which is more economically efficient.

Additionally the job guarantee acts as a powerful spend side automatic stabiliser that is temporal and spatially efficient - which removes the need to manipulate the base interest rate allowing it to return to its natural rate of zero. This allows permanent cheaper mortgages and business loans.

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upvoteby zozbot2341 hours ago|
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The government already does this by subsidizing low income earners via the EITC. It just outsources the actual job provision to the private sector, which is an effective alternative to wasteful make-work.
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upvoteby neilwilson7 minutes ago|
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Except that doesn’t work as there remains a systemic shortage of jobs on offer.

The societal deal with the private sector is that it employs everybody at a rate that allows an individual to live in return for the chance to make a profit. A job guarantee ensures that the private sector overall cannot shirk that responsibility.

If the private sector does its job, nobody will be employed on a job guarantee.

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