Hacker News new | ask | show | jobs
by danans 2707 days ago
> A redistribution scheme is inherently unfair.

All systems of tax, benefits, and even property rights are redistribution schemes, including the recent tax cut, which was a redistribution upwards in the income/wealth scale. Redistribution is always relative to the previous state of societal wealth and resource distribution. There is no set point of "fairness".

> Subsidized housing creates artificial housing demand

What exactly is "artificial housing demand"? The need for primary housing for poorer people (as fulfilled by subsidized housing) is anything but artificial. You can't fake needing a roof over your head. The only place you can see anything like "artificial" housing demand is at the high end in demand for second homes, investment real estate, and vacation properties.

> Solving the affordable housing problem cannot be achieved by subsidizing low wages and high rents.

Agreed. It can only be solved by building more housing. But the purpose of UBI isn't to solve the affordable housing problem. Society can walk and chew gum at the same time by also building more housing where people want to live, which seems like an equally high a political and economic hurdle as UBI.

UBI could in some cases, however, give some people the means to move away from high housing cost areas to areas where UBI goes a longer way towards providing housing for them. Many people are stuck in high-housing cost areas because that's the only place that job opportunities exist. This is not just true for professional workers, but also for blue collar and lower income workers who are even less able to afford housing in expensive metropolises.

1 comments

> including the recent tax cut, which was a redistribution upwards in the income/wealth scale.

The net result of a tax cut, even if applied unevenly, would be less redistribution, by definition, not more.

> What exactly is "artificial housing demand"?

Supply and demand. Everyone obviously can't afford to pay $1 million in rent per month, thus market rents are substantially lower. Government intervention is creating artificial demand at a higher price point than would otherwise be sustainable.

> Agreed. It can only be solved by building more housing.

Why would a city build more housing when the wealthy control the poor with subsidized housing. They always have a steady stream of income thanks to welfare.

> UBI could in some cases, however, give some people the means to move away from high housing cost areas to areas where UBI goes a longer way towards providing housing for them.

The market has an answer for this. It's just going to raise prices in those more desirable areas.

> The net result of a tax cut, even if applied unevenly, would be less redistribution, by definition, not more.

You are leaving out what follows tax cuts, which is the cutting of government services to the poor. That's where the upward redistribution would in the near term. That might have happened if the political winds were blowing in a different direction this past November.

For now, those disproportionate tax cuts for the wealthy are being paid for with record national debt, which will be borne by the non wealthy of a future generation.

Yours is the same logic that lauded the tax cut for giving a secretary a $1.50/week after tax pay increase, a boast which was then retracted in apparent shame:

https://www.nytimes.com/2018/02/03/us/politics/paul-ryan-twe...

> The market has an answer for this. It's just going to raise prices in those more desirable areas.

As will tax cuts.