If a survival stipend competes successfully against a low-paying, high-stress, and absolutely miserable job conditions then the problem isn't the stipend, is it?
A zero sum concept of blame isn't really helpful IMO. It's better to just try to figure out the policy consequences without the moralizing.
The simplest model of utility (linear in money) basically says "people will take these jobs if they pay $X more than unemployment." With unemployment in the US paying $300/week more than it used to, jobs now need to pay about that much more than before to stay competitive -- about $7.50 an hour. So for a $15/hr job, the employer needs to pay $22.50 now.
A perhaps more realistic utility model has diminishing returns to money. The classic example is log($). Put simply, "people will work a job if it pays X times what unemployment does."
In that model, the $15/hr job at 40 hours/week pays $600 before tax. Say unemployment used to pay $300/week, so the job paid 2x unemployment, and now with the extra $300 of supplemental employment benefits it pays $600, so the job has to bump its pay up to $1200/wk or $30/hr to stay competitive.
That's a modeled kinda space of policy consequences -- wages go up 50% or 100% or there will be employment shortfalls even before thinking about childcare shortages, reduced immigration etc. That situation can be spun as "benefits too high" or "pay too low" to score political points or drive policy, but these effects are clearly explanatory either way.
Regardless of one's opinion on the wisdom of the policy, it's still a glaring oversight in a news article about the dynamics of the labor market.
I've been a UBI supporter my entire adult life, but that doesn't mean that what's effectively a lie of omission is good for the discourse. Then again, it's hard to expect otherwise from a rag like NPR.
>conditions then the problem isn't the stipend, is it?
It's laughable to make that comparison when the "survival stipend" is money for doing nothing. I'm not sure how any private enterprise can compete with that.
Except they're not doing nothing, are they? They're raising their kids, fixing their car, cooking healthy food, going to the doctor, visiting their mom, and any number of other things that a person working minimum wage can't make time for. The survival stipend gives them not only money, but time. When you see that, you start to realize how much those crappy jobs COST people.
The simplest model of utility (linear in money) basically says "people will take these jobs if they pay $X more than unemployment." With unemployment in the US paying $300/week more than it used to, jobs now need to pay about that much more than before to stay competitive -- about $7.50 an hour. So for a $15/hr job, the employer needs to pay $22.50 now.
A perhaps more realistic utility model has diminishing returns to money. The classic example is log($). Put simply, "people will work a job if it pays X times what unemployment does."
In that model, the $15/hr job at 40 hours/week pays $600 before tax. Say unemployment used to pay $300/week, so the job paid 2x unemployment, and now with the extra $300 of supplemental employment benefits it pays $600, so the job has to bump its pay up to $1200/wk or $30/hr to stay competitive.
That's a modeled kinda space of policy consequences -- wages go up 50% or 100% or there will be employment shortfalls even before thinking about childcare shortages, reduced immigration etc. That situation can be spun as "benefits too high" or "pay too low" to score political points or drive policy, but these effects are clearly explanatory either way.