[calmchaos]

If you want hyperinflation, that's the route to take. The more government is injecting money to businesses, society and people, the more expensive everything is getting.

At the same time this dilutes the wealth of people and companies who have actually saved money.

Countries need LESS socialism and government control - not more.

[econcon]

>The more government is injecting money to businesses, society and people, the more expensive everything is getting.

It only matters to people who have lot of cash saved up. Value of their money might decrease.

But vast majority of population does not have cash saved up, they do not care about money losing its value as long as they are able to get more money today and buy the stuff they need.

[sparkie]

> But vast majority of population does not have cash saved up, they do not care about money losing its value as long as they are able to get more money today and buy the stuff they need.

Of course they care. Those that care most are the lowest income earners. For a simple reason: their wage does not increase with the inflation. They are either losing purchasing power or it is stagnated and they are not able to better their economic position. The silly minimum wage laws lag the price inflation, so people are in fact, no better off when they finally get their raise.

[calmchaos]

UBI benefits are quickly nullified because prices start to go up. Inflation effects everyone - not just people with cash reserves. It just radically increases government spending and debt which eventually leads to crash of currency value.

[econcon]

If prices will go up, some of the UBI receivers might want to capture that price increase by launching new businesses.

I think more serious threat comes from existence of global market. It means, the local supply does not need to react to local increase in demand but people elsewhere can capture that demand by shipping cheaper goods.

To make UBI work you possibly need to become an island or already have huge exports to offset whatever your population might be interested in buying from other countries.

This is not a fact/experiment based, it's merely a hypothesis.

[calmchaos]

If country X introduces UBI, the prices WILL go up (it's not a question of "if" - it's guaranteed). UBI will nullify itself quickly. And if everyone gets UBI, then we are at the starting point. Anyone can start new businesses even today.

Government spending goes through the roof (due to money printing) OR they have to raise taxes ridiculously high. This will make working even less appealing and people start to downshift - until they quickly realize that they can't. If you raise taxes, many companies simply move their operations to some other country -> loss of jobs.

What's worse is that due to prices going up, the businesses become non-competitive in the global market. Why would you buy product Y from country X if the price is a lot higher than in any other country?

When the export business dies, companies start to die and people are out of jobs. It's a ripple effect that goes through the entire economy.

Then it doesn't matter how much money the government is giving you because prices are high and as jobless you are quickly dead broke.

If due to introducing UBI all other social welfare support is removed, sick and disabled people start getting homeless and dying left and right because UBI simply isn't enough for them.

The final nail to the coffin is that other nations tell country X: "We don't accept your currency anymore. Pay with something else or you don't get the goods."

Frankly I'm surprised that this hasn't already happened on larger scale - UBI or not.

[aww_dang]

What of the people who had modest incomes, but lived within their means and saved their money? Why punish them and push their dreams of home ownership further out of reach? Why reward the those who were irresponsible?

[SubiculumCode]

UBI is not socialism. In fact, it is more of a libertarian policy where choices are made by individuals.

Keeping people from falling off economic cliffs is likely to be more productive than letting them become homeless for the rest of their lives. That productivity offsets inflation risks. Technology and automation increases offset inflation, because they make us all more productive.

[calmchaos]

How do you get all that money so that you can pay people UBI?

Either you have to raise taxes sky high or you start printing money like never before. Both are poor options.