Negative Income Tax is the type of UBI I favor, a 25% tax on all income would pay for the UBI and all current government programs , Andrew Yang’s proposed UBI always ignored the Taxing side of the equation
Nixon to date is the only president I am aware to endorse the idea, also interesting is that this idea seems to have more support on the right then on the left. Why?
UBI was originally proposed as a means to deal with poverty, today it is a means to deal with the loss of jobs do to automation .
from Wikipedia
In economics, a negative income tax is a system which reverses the direction in which tax is paid for incomes below a certain level; in other words, earners above that level pay money to the state while earners below it receive money, as shown by the blue arrows in the diagram. ‘Negative Income Tax’ ( NIT ) was proposed by Juliet Rhys-Williams while working on the Beveridge Report in the early 1940s and popularized by Milton Friedman in the 1960s as a system in which the state makes payments to the poor when their income falls below a threshold, while taxing them on income above that threshold.
The house supported FAP, voters supported it (Nixon re-election 1972) but 2 very influential Senators are attributed to it’s demise.
The ways & means committee cleared FAP in 70 and 71 without a hitch but then it came before the Senate Finance Committee - and it’s Democratic chairman - one Sen Russell Long, along with Rep Sen John Williams.
It’s a long story and perhaps a story of how politics can be a failure.
Btw Sen Long’s father was Huey P. Long - worth a little read.
yeah i feel it would be better to compensate high earners so the more you earn the smaller % this would mean they still pay but encourages to earn more money
The motive with which it has been introduced is great i.e. reducing poverty. I am sure that there are a lot of people who support it because of its idea to discourage low wages and redistribute wealth. But I am not very sure how others are taking it and what its future will be.
The US is about to print another 1.9 trillion dollars, of which only a one-time payment of $1,400 will go directly to Americans.
Take that same money and we could fund for a full year a $1,000 a month ( $12,000 a year) UBI, and find out if it will really work
The math is simple here, there are 200 million Americans between 18-65 times $12,000 equals 2.4 trillion dollars, the difference would easily be made up by the 1-year suspension of many welfare programs. and you could always require very high wage earners ( like members of congress ) to pay it back
