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by elevatortrim
101 days 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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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.