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300 points pseudolus | 105 comments | | HN request time: 2.206s | source | bottom
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BrenBarn ◴[] No.44410806[source]
> I heard one answer more than any other: the government should introduce universal basic income. This would indeed afford artists the security to create art, but it’s also extremely fanciful.

Until we start viewing "fanciful" ideas as realistic, our problems will persist. This article is another in the long series of observations of seemingly distinct problems which are actually facets of a larger problem, namely that overall economic inequality is way too high. It's not just that musicians, or actors, or grocery store baggers, or taxi drivers, or whatever, can't make a living, it's that the set of things you can do to make a living is narrowing more and more. Broad-based solutions like basic income, wealth taxes, breaking up large market players, etc., will do far more for us than attempting piecemeal tweaks to this or that industry.

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1. skeeter2020 ◴[] No.44414213[source]
I do a lot of things as an amateur but at pretty high level: athletics, music, art and more. I also pay a huge portion of my income as a software developer in direct and indirect taxation. Convince me I should fund people to focus full-time on things where they can't make a living, the same things I love to do but realize can't be your sole pursuit.

You've conflated people busting ass who can't keep up with those following their passion in the arts voluntarily. Those don't feel anything like the same thing to me. I don't think I'm alone in a perspective that if you keep taking more from me I'll stop contributing all together, and we'll all fail. The ultra-rich and others with means to avoid picking up the tab have already done so.

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2. tossandthrow ◴[] No.44414333[source]
Assuming you live in the US, it is relatively easy to convince you - but it heavily relieve on you opening your eyes.

Start traveling, talking to other cultures, and stop being dismissive and defensive.

3. metabagel ◴[] No.44414403[source]
> Convince me I should fund people

Are you in the top 1%? If so, you can afford it. If not, then I don't think your taxes should go up - I think Bezos' taxes should go up, and there should be a wealth tax for high net worth individuals.

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4. candiddevmike ◴[] No.44414406[source]
> Convince me I should fund people to focus full-time on things where they can't make a living, the same things I love to do but realize can't be your sole pursuit.

You already are, it's just going to the ultra wealthy and pension fund kids, while you slave your life away making that stock go up because you believe there should be no other choice.

replies(1): >>44414993 #
5. ◴[] No.44414441[source]
6. KittenInABox ◴[] No.44414602[source]
If all the people who passionately pursue art decided to pursue only profitable full-time jobs, you bet that your software developer job would pay shit like an art and you'd be way worse off than if you just paid a few hundred bucks (at most, let's be real, unless you have serious assets in which why would we pity you) annually to allow to a civilized society that actually allows for cultural innovations.
7. ahoy ◴[] No.44414691[source]
Because you have to live in a society with those other people. Because that's going to be YOU in the future. Because it's going to be your kids, your cousins, your neighbors.
replies(1): >>44415257 #
8. pavlov ◴[] No.44414778[source]
I love art and I also love making art, but I have to work so I don’t get to spend as much time on it as I’d like.

Yet that doesn’t mean I want to see other people making less art. On the contrary: I wish other people could create more great stuff that makes me happy, and I’m also happy if my tax euros (and my private consumption) help pay for that.

What I’m trying to say is that this idea of “I don’t get to do it, so nobody else should either” seems completely foreign to creativity. It’s not a zero-sum game.

replies(2): >>44414875 #>>44415513 #
9. harmmonica ◴[] No.44414843[source]
I feel like this is one of the fundamental issues with US taxation today and this overall issue of wealth inequality. People like you, high-income and likely not a lot of shelters for that income based on what you're saying, pay a lot of taxes percentage-wise and so the thought of paying another 1-2 percentage points is, for lack of a better word, sickening. I tend to think you're right about that because it feels really unfair when you're paying 40-50% tax, a lot of people pay zero, and then people who are much wealthier than you are paying 20%.

It's when you start making fabulous amounts of money, and can park it in all sorts of shelters, whether that's straightforward things like real estate or, as HN commenters point out every time this comes up, by not ever even earning income or investment gains and so you can drive your tax towards zero (by doing things like taking out loans against your assets for money to live on).

I'm not sure what the answer is, but a North Star, in my mind, would be that as you have more you pay more, a truly progressive scheme, because every additional dollar you earn (through income or investment gains, realized or unrealized), as you get richer, actually is less critical to your livelihood. Who am I to say that? I'm not talking about some nebulous concept. I'm saying that if you make $1 million dollars per year, in total, a dollar extra matters less to you than it does to someone making $100,000 so I'm purely speaking on a relative basis (cue someone saying "how do you know it matters less? That person could live in a HCOL location, or have 12 kids or..." Hopefully we can avoid that because it misses the point; those things are choices people make. How much you're taxed is not a choice for the most part though can be to some extent (move from a high-tax state to a low one, etc.).

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10. orangecat ◴[] No.44414875[source]
“I don’t get to do it, so nobody else should either”

That's not it at all. There are already tons of people doing it, so many that the incremental value of one more person is small. The low pay reflects that; it's a signal that you should consider other jobs that are more in demand.

replies(1): >>44417817 #
11. ajsnigrutin ◴[] No.44414993[source]
So why not have the worker get/keep more of his money, instead of giving it to a different group of "others"?
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12. osigurdson ◴[] No.44415077[source]
The top 1% globally is 60K USD for a single earner. Should taxes go up for anyone above this level?
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13. MathMonkeyMan ◴[] No.44415084{3}[source]
Because the taxi driver could keep all of his money and still wouldn't make very much.
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14. ajsnigrutin ◴[] No.44415132{4}[source]
Sure, but he'd make more if he wasn't taxed so much.

In my country, from the customer to the persons net paycheck, a bit over half goes to the government (vat, 2x different benefits, income tax).

Every time someone mentiones taxes, the rich and the poor over here, the average (ie. people earning around average income) get taxed more, the rich on paper earn nothing, and the poor get taxed the same (because there's nothing more to take).

I'd much prefer a system where an average joe would pay a lower percantage of taxes (ie. a tax break), and people like bezos would actually get taxed at the same rate instead of paying zero throug loopholes).

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15. NERD_ALERT ◴[] No.44415138{3}[source]
What? Why would US taxes have anything to do with people in poorer countries?
replies(1): >>44415237 #
16. motorest ◴[] No.44415213{4}[source]
> Because the taxi driver could keep all of his money and still wouldn't make very much.

So what does this have to do with income inequality? If you try to make a living from a business and the revenue you get from it is not enough to keep it afloat, what does it say about it's viability and income inequality?

replies(1): >>44416014 #
17. osigurdson ◴[] No.44415237{4}[source]
It seems that UBI arguments are all about "fairness". So it naturally should extend to other countries it seems. Otherwise you are just creating another greedy / protected group.

Of course people usually try to draw the UBI Venn diagram such that they are a net receiver of funds.

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18. motorest ◴[] No.44415257[source]
> Because you have to live in a society with those other people.

Your reply was a strawman arguments, and fails to address OP's point. The point is quite simple and straight-forward: if your argument for UBI is that people could hypothetically pursue their interests, why should I have to be the one having to work to pay the taxes required to finance this income redistribution scheme only to have others, perhaps less talented and dedicated than me, pursue my interests at my expense?

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19. wrs ◴[] No.44415368{3}[source]
You would have the option to do what they’re doing if you prefer. You just wouldn’t have as much disposable income.

Why are you pay for other people to use the roads or have their fires put out or have health care? Because society is more pleasant overall if everyone can assume a baseline availability for those things.

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20. anigbrowl ◴[] No.44415370{3}[source]
The point is hollow, as is your restatement of it

why should I have to be the one having to work to pay the taxes required

You're not. You are not the only person paying tax. And far more of your tax bill is going toward subsidizing people and industries who are already rolling in money than helping relieve the burden on the poor.

I'm not saying you should pay more tax, you should probably be paying less. But we should reorganize the economy away from rewarding ownership of property as if it were productive economic economy activity in and of itself.

replies(1): >>44415804 #
21. dwaltrip ◴[] No.44415376{3}[source]
Currently, US taxes are primarily used inside the US, the exception being foreign aid, which relatively is a small amount.

Are you suggesting the US should fund a global UBI?

replies(1): >>44415532 #
22. pineaux ◴[] No.44415383[source]
Because if all these people are forced to do what you do, because nothing else pays their bills, your income will go down.

Also, all the people who cant do what you do, should they just curl up and do fentanyl? What do you propose they should do?

23. pineaux ◴[] No.44415406{3}[source]
Its not a strawman. The argument is: because you need the other people in the society. You need them for basically everything. You have built your life on shoulders of others. Everything you can do, you can do because you profit from other's labour. That is why. You would not have culture, language, computers, roads, garbage collection, nursing homes, music to listen to, etc. You have enjoyed all these things "at the expense" of the people who did that for you.
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24. wombatpm ◴[] No.44415429{5}[source]
As soon as those other countries join the US it should extend to them as well.
25. DangitBobby ◴[] No.44415445{5}[source]
It's sounds like you are trying to draw it to be as absurd as possible to reduce the proposition to something ridiculous.
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26. jayd16 ◴[] No.44415464[source]
Your argument begs the question. If we made it so it could be a sole pursuit then you'd be free to choose.

Besides, why do you want to live in a world with less artists and full of people who hate their jobs?

replies(1): >>44417130 #
27. mitthrowaway2 ◴[] No.44415489[source]
OK, I'll do my best: Economies of scale.

Consider two toy economies: One in which purchasing power is fairly evenly distributed among the population, and one in which it's concentrated via a power-law distribution into the top 1%, and 0.1%, etc.

In the first case, the quantities of mass-market products demanded will be much larger, because more people can afford to purchase them. This means demand for things like cameras, cell phones, breakfast cereals, movies, video games software, etc, go up. However most of these are also things where economies of scale makes production more efficient as order quantities increase. Factories can invest in jigs, automation, and high-throughput lines to make enough quantity for everyone. The jobs that produce these goods also become better-paid, and easier to secure investment for, because order quantities are higher and less volatile. And doubly so for intangible goods like software, ebooks, music, and video games: production can scale to infinite demand, so there can never be a production shortage, but people who work in these industries can be better rewarded for their efforts because a bigger audience can afford to pay more.

So order quantities grow, and so do incomes, but inflation is relatively low because of the increasing efficiency of production. This means real GDP per capita increases greatly, and the population as a whole becomes materially more wealthy. Even though wealth is being distributed away from top earners, there are huge material rewards available to anyone able to supply goods and services to the masses, because the masses are able to pay for those goods and services.

In the wealth-concentration economy, those mass-production industries have to fight for scraps, because the top 1% has as much purchasing power as the bottom 99%, and the top 0.1% has more purchasing power than the 1% below them. More purchasing power is directed towards luxury goods: golf courses, supercars, yachts, country club estates, Rolex watches, art, private jets, and real estate. Production quantities are low and inefficient, and in the case of land, production is effectively impossible. Prices go up for these assets, but there is little productive benefit to the economy. The excess wealth of the 0.1% is put towards buying political influence, buying news media, and so on, which becomes another negative for society as a whole. Meanwhile an entrepreneur might identify a pressing need among the bottom 25% of the populace, where very simple things (eg. vitamins or eyeglasses) could create an incredible increase in social welfare, but they will not be able to secure investment nor be rewarded for such efforts because there is no profit in it; the poor cannot afford to pay.

28. Workaccount2 ◴[] No.44415493{3}[source]
Because the guy sticking out 60 hours a week at the office to get a comfortable middle class life loves his job just as much as the painter traveling to do his national parks series.

Therefore the government can tax the office worker and use the proceeds to buy the artists paintings and utopia is here!

29. Workaccount2 ◴[] No.44415513[source]
You don't have to pay tax, you can just go buy their work directly!
replies(1): >>44415817 #
30. Workaccount2 ◴[] No.44415532{4}[source]
The logic extends flawlessly so it's difficult to say "I'm all for UBI, but only within our borders".

The US has used cheap labor globally for decades, why would the blue collar worker in Indiana qualify more than the blue collar worker in Indonesia? Both are making goods for American billionaires and both are struggling.

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31. Workaccount2 ◴[] No.44415594{6}[source]
What would be absurd about a global UBI? It's amazing how fast people jump off the high horse of equality when you point out that on a global scale they are incredibly rich and privileged.

Equality to them means them getting more material goods, not them giving up more material goods.

replies(1): >>44419126 #
32. mitthrowaway2 ◴[] No.44415682[source]
There's actually a mathematical proof that the more dollars you have, the lower the utility of the marginal dollar; utility has to fall at least logarithmically or else you fall victim to the St. Petersburg paradox.
replies(1): >>44416092 #
33. intended ◴[] No.44415744{3}[source]
Because the worker doesn't have the ability to be able to protect his interests when he is just keeping his money.

The rich are able to keep larger portions of their income, and then eventually leverage that to be patrons of political power and set the rules for themselves.

You are also not in the same category as the super rich, so theres an unspoken blurring of the terms here as well - theres no sense in considering a normal perso, or a rich person against someone like Bezos, who has the wealth of several countries.

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34. osigurdson ◴[] No.44415767{6}[source]
It is hard to say "I want UBI because inequality" and then fail to recognize this.

What they are really saying is "I don't want anyone to be richer than I am but fine with people being poorer". So the default human position on things.

35. worik ◴[] No.44415785[source]
> Convince me I should fund people to focus full-time on things where they can't make a living

I cannot do that.

But given that we need the labour of about 10% (give or take) of people for society to function, we need to change our economic arrangements

I think we should fund the basic meat hook realities for the common person. Accommodation, food, health care, shoes...

That is a UBI - Universal Basic Income

It will simplify so many aspects of modern life, increase our taxes, and open up many opportunities

The current system has failed to deliver anything like economic justice and needs rethinking

This will mean that people are able to "focus full-time on things where they can't make a living", rather than hustle for crusts. That is a side effect, not the purpose

36. motorest ◴[] No.44415804{4}[source]
> The point is hollow, as is your restatement of it

No. I'm not sure if you failed to understand the question or you tried to avoid it. My question refers to the core argument involving any economic system: fairness and equity. Why are you trying to avoid touching on the topic?

> You're not. You are not the only person paying tax.

Yes, I am. Everyone is forced to pay taxes, and I am no different. In income redistribution schemes such as UBI you get a chunk of your salary taken straight from your pay check to finance other paychecks. So far this sort of scheme is used to cover salaries representing social safety nets such as pensions, disability, and temporarily for unemployed. UBI radically changes that, as it goes well beyond the role of social safety net and unconditionally extends this to everyone. So now you are faced with a scenario where you have two classes of people: those who sustain the scheme and make it possible, and those who only consume it's resources.

Even if you try to argue there's a net benefit to society, you must face the problem of lack of equity. For instance, how do you justify to people like OP that they should continue working at their jobs so that others can have the privilege of pursuing their personal interests? If you argue that OP is also free to quit his job to pursue his interests then you're advocating for an income redistribution scheme that presssures participants to not contribute to it and instead consume the resources it manages to mobilize.

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37. pavlov ◴[] No.44415817{3}[source]
I want artists I’ve never heard of to have the ability to grow.

Taxes are a great way to fund culture, sort of like an index fund: I don’t have to try to pick winners now, I’ll get the accumulated benefit eventually.

38. xyzzyz ◴[] No.44415874{5}[source]
I understand that you don’t like the European taxation regime, where the bulk of the tax burden is carried by the middle class, but I find it strange that then you give Bezos as a negative example. It is strange, because in US, unlike in Europe, it is the wealthy who pay most of the taxes. Our middle class pays very little tax, unlike middle class in Europe.
replies(1): >>44416568 #
39. motorest ◴[] No.44415887{4}[source]
> You would have the option to do what they’re doing if you prefer. You just wouldn’t have as much disposable income.

That's fantastic. So let's build upon your personal belief, and as the system is universal then your recommendation is extended to everyone subscribing to the service.

Now please explain how you expect to finance an income redistribution scheme where all participants do not contribute back and instead only expect to consume from it.

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40. MichaelZuo ◴[] No.44415925{4}[source]
This seems like a tautology?

By definition, the median person only has a mediocre ability to “protect his interests”.

41. BrenBarn ◴[] No.44415977{5}[source]
From a moral perspective I agree and that should be the long-term goal. Practically, however, the notion of national sovereignty makes it infeasible to implement a global UBI. Within the borders of a country, that country's government can do what is needed to make it work (e.g., punish scofflaws). Across international borders, that's much more difficult. We see this already in that many countries that are "poor" overall have ludicrously high levels of inequality, because a small elite controls all the flows of foreign investment, etc.

To take a simple example: within a country, if you send the UBI money to a local government for disbursement and the local mayor/governor just pockets it, he's still ultimately subject to the legal system of that country and can be jailed, etc. There's no international equivalent of this. If you send some UBI money to Poor Country X for disbursement and the local governor pockets it, there's nothing you can do except not send any more money.

replies(2): >>44419063 #>>44423327 #
42. MathMonkeyMan ◴[] No.44416014{5}[source]
I was responding to the question:

> So why not have the worker get/keep more of his money, instead of giving it to a different group of "others"?

The quote is implying: "rather than tax people and give that money to others, just have people keep the money they make."

My point is that this would not necessarily help the taxi driver much, since he probably doesn't pay much in taxes anyway. His issue is that his wage is not high enough.

One could argue that taxi driving shouldn't exist or should be relegated to some impoverished underclass, or one could argue that the issue is with the taxi driver's lifestyle expectations and not with the low wage, or that taxi drivers should find other employment, thus reducing the supply of drivers and either raising wages or "rightsizing" the driver workforce.

In any case, I don't agree with the parent poster's implication that lowering taxes is a viable alternative to tax-funded universal basic income.

Lowering taxes benefits most those who pay a lot of taxes, and those are the people who are least directly affected by the removal of tax-funded welfare programs. Sending the money to "others" is the point.

Keep in mind that the taxi driver is just a made up example, and I myself am not sold on the idea of universal basic income.

43. motorest ◴[] No.44416068{4}[source]
> Its not a strawman. The argument is: because you need the other people in the society.

No. Your argument is that other people exist. That's great, everyone had the right to exist. But in the meantime, why do you think that just because someone else exists that means I am obliged to work a job to pay off their bills? And if you answer with a puerile and superficial "but you can also quit your job" then who exactly do you expect to foot the bill? Age you envisioning a society where no one contributes to it?

replies(1): >>44416196 #
44. harmmonica ◴[] No.44416092{3}[source]
I'm glad to hear you say there's mathematical proof. I guess the sad thing is that if someone disagreed with the sentiment and then you told them there's mathematical proof that same person may be inclined to disagree with the math as well. I'm going to look up St. Pete's paradox now because never heard of that before. These are exactly the types of things I like to learn about on HN to reinforce (in this case) or rebut my takes so thanks for replying.
45. _DeadFred_ ◴[] No.44416173{5}[source]
VCs fund a lot of companies, even though they only get a return on a few. The government routinely gives out subsidies to industries they want to encourage, knowing that only a few that receive the subsidies will generate a return. This isn't a novel/unworkable concept, a lot of our economy is currently based off of it actual, you just don't like it.

Some people think if you fund people's ability to live, so that they aren't killing themselves going to multiple jobs, not sleeping, not raising their kids, remove fears like 'insurance is tied to this job so I can't leave it', etc, you will encourage an economic renaissance, just like VC funding has created a renaissance for the pocketbooks of VC funders.

replies(2): >>44416262 #>>44417364 #
46. _DeadFred_ ◴[] No.44416196{5}[source]
Society is a perfectly valid response to your question. You are used to a certain society, societal rules that doesn't care about it's people. OP feels like society should be more than that. And simply that thought, that society shouldn't let people die on the street, that mom's should be able to raise their kids not forced to work two jobs, should encourage people to do XYZ, is a totally valid response to your question.
replies(1): >>44420105 #
47. hnpolicestate ◴[] No.44416240[source]
"Convince me I should fund people to focus full-time on things where they can't make a living" - because you wrote the programs that made their job (like everyone else's job) obsolete/automated?
replies(1): >>44416522 #
48. ownagefool ◴[] No.44416246{5}[source]
I think the overriding idea is a UBI would only result in a modest living and luxury would cost more.

That's where many of the practical issues come in of course.

I'm not going to personally argue they're not solvable, but many people will argue the requirements of basic shelter and sustenance being far higher than what they actually are, and in our current system, the landlords would take the cash anyways.

Of course, if we all end up jobless due to robotics and AI enhancement, which again isn't something that's necessarily going to happen, UBI or similar might be the only positive path out of that mess.

49. motorest ◴[] No.44416262{6}[source]
> VCs fund a lot of companies, even though they only get a return on a few.

You're not talking about long-shot bets in a system where everyone is expected to produce. You're talking about income redistribution schemes. This means today's salary is used to finance today's benefits. Please explain who do you expect to foot the bill when the system pressures those who sustain it to abandon that and instead add to the pool of consumers.

replies(1): >>44417347 #
50. CuriousSkeptic ◴[] No.44416279{5}[source]
> income redistribution schemes such as UBI

It’s a common framing, but UBI does not have to be that. Another may be that of a just compensation for giving up access to land.

> Every proprietor owes to the community a ground rent for the land which he holds

https://en.m.wikipedia.org/wiki/Agrarian_Justice

replies(1): >>44419977 #
51. jt2190 ◴[] No.44416356{5}[source]
I don’t understand your comments about “fairness” in the context of UBI. Doesn’t everyone get the benefit whether they work or don’t? Otherwise that wouldn’t be “universal”, would it?
replies(1): >>44420054 #
52. wisty ◴[] No.44416508{4}[source]
Consumption matters not wealth. Wealth is just paper ownership, it's consumption that is wasting scarce resources.

And the super rich simply can't consume that much. Bezons isn't eating a thousand times as much as a millionaire. If his kids spend their lives being unproductive, it's only a tiny handful of wastrels. Mansions, yachts and large private airplanes might be a bit of a resource sink I guess .... but how does paper wealth cost society real resources? It's like being made at someone with a rare monkey gif

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53. astrange ◴[] No.44416522[source]
Automation increases productivity which increases employment (ceteris paribus).

The important quote you want here is: “If you want a simple model for predicting the unemployment rate in the United States over the next few years, here it is: It will be what [Alan] Greenspan wants it to be, plus or minus a random error reflecting the fact that he is not quite God.”

Software developers are not Alan Greenspan.

54. cschep ◴[] No.44416568{6}[source]
That should be true, but it doesn't end up working that way because people become corporations right? The actual tax burden is footed by the people making just enough to call rich, but not breaking into the territory where it's worth hiring an army of tax lawyers to reduce it to zero. This is bad.
replies(1): >>44418321 #
55. s1artibartfast ◴[] No.44417086{3}[source]
This is the obvious answer, and unattractive for those with unsellable skills.
56. s1artibartfast ◴[] No.44417100{4}[source]
If being a taxi driver doesnt making a living if they keep all their wages, then we shouldnt have taxi drivers.
replies(1): >>44418696 #
57. s1artibartfast ◴[] No.44417130[source]
I want to be able to choose what I want. If I want art, I will buy it and pay an artist. If I want to eat at a restaurant, I will pay for that instead.

Why would I ever want to let others decide for me if I get art or food today?

replies(1): >>44418618 #
58. _DeadFred_ ◴[] No.44417347{7}[source]
No, I am talking about investing, not bets, in every person, improving their lot, which in turn will improve society's productivity. If I go from watering 10% of my garden to 100%, I get better returns. A mom working 2 horrible jobs with varying hours can not raise a healthy new member of society. Freeing her to do so lifts ALL of society. There are lots of factors that will improve. People no longer just barely hanging on can start re-investing in themselves, their ideas, their skills. People not afraid if their idea fails will start new businesses. If anything business and capital flow will increase and flourish.
59. just_some_guy_2 ◴[] No.44417364{6}[source]
Denmark already have a limited form of the UBI when seen in that light. The state offers free education and a monthly "basic income" for people studying for a degree, for up to five years.

Sure, some people waste it. Some are just passive consumers, even shopping around between multiple educations without ever completing a degree. Some drop out half-way. Some get impractical degrees with few real job opportunities.

But enough people go on to become doctors and engineers and software developers and so on, and then have long careers that ultimately pays back the venture capital to the state, in the form of taxes. Most also work a side-job while studying to supplement the "basic income" stipend.

I don't personally believe that the majority of people will become unproductive consumers with an UBI. I think that societal pressure to contribute, the wish to enjoy luxuries, and to get status is enough for the majority to still work. I think that the added safety net of the UBI will also allow more people to take a risk on a dream, and perhaps make it big in art, in inventing new stuff, in science or in politics. And, as in VC investments, the few big hits will hopefully pay for the failures.

replies(1): >>44419812 #
60. ajsnigrutin ◴[] No.44417508{4}[source]
The debate was if workers get taxed, should that money go to artists and op above me said that that money now went to rich people.

I advocated for workers to keep more of their money.

It's not about protecting interests, leverages, political powers, etc., it's just more net pay at the same gross pay for the workers. Why choose where the workers money goes, if they can keep more, and just pay the artists by visitng concerts or buying their music? Why does government have to be involved?

replies(1): >>44419650 #
61. pxc ◴[] No.44417817{3}[source]
Art-as-job is an artifice we've instituted through the invention of copyright, whose purpose is to ensure that we live in a society rich with art. There is not and never has been any reason to believe that this system, though it may serve its purpose to some extent, actually captures or meaningfully quantifies the value of art to society. The "demand" for art is made-up in the first place, not an end in itself or a measure of an end itself.

One invented means of propping up art isn't necessarily especially legitimate or natural compared to others.

62. xyzzyz ◴[] No.44418321{7}[source]
No, that’s just not how it works. People cannot become corporations. You cannot hire an army of tax lawyers to avoid owing any tax. There are no major “loopholes” either that would help you avoid paying tax on actual income you make. You are just repeating some vague bullshit people say on the internet, but it’s just not true.
replies(1): >>44421528 #
63. jayd16 ◴[] No.44418618{3}[source]
Huh? Inherent to the act of buying, you're relying on someone choosing to sell. I'm not really sure what you're asking.
replies(1): >>44419557 #
64. eschaton ◴[] No.44418696{5}[source]
What of society needs taxi drivers?
replies(1): >>44419533 #
65. eschaton ◴[] No.44418728{4}[source]
The above poster is basically just repeating libertarian “free market cannot fail” talking points, and probably feels terribly aggrieved that they have to pay for other people to use the roads or have their fires put out or have health care too.

In other words, they’ve outed themselves as a Randroid and their opinion on matters of economics and public policy is worth just as much as Ayn Rand’s: Nothing, or even less.

66. dwaltrip ◴[] No.44419063{6}[source]
Thank you for explaining this.
67. dwaltrip ◴[] No.44419072{5}[source]
I wasn’t making a moral statement. It’s a matter of practical reality.

Humanity doesn’t really know how to do global policy, even if there are massive potential benefits.

68. lucyjojo ◴[] No.44419106{3}[source]
if you are a worker, you are not the one who should pay to reduce inequality.
69. lifeformed ◴[] No.44419126{7}[source]
It's about impracticality, not morality. It doesn't make feasible sense to fix the whole world's economy in one go. And we shouldn't let imperfection get in the way of progress.
replies(1): >>44423376 #
70. s1artibartfast ◴[] No.44419533{6}[source]
then they pay for it, possibly more if required.
71. s1artibartfast ◴[] No.44419557{4}[source]
yes, that is the system that I prefer: voluntary buying and selling.

I do not like the proposed system where people chose what they produce, and I am compelled to pay for it whether I want it or not.

replies(2): >>44420874 #>>44428317 #
72. intended ◴[] No.44419571{5}[source]
Sure, if you believe that you should most definitely do your best to consume less. Matter of fact, this is what people around the world are doing and reducing one of the highest sources of future consumption - children. I think it was a world bank report that came out recently that showed that people globally are having fewer children, with costs being the most commonly provided reason.

So, if you believe consumption is the issue, rejoice! It seems to be a problem that will resolve itself in a generation or two.

replies(1): >>44420418 #
73. rrrrrrrrrrrryan ◴[] No.44419572[source]
According to empirical laffer curve studies, median earners in America start taking their foot off the gas pedal when you tax more than 33% of their wages, but you can tax 73% of billionaires' income before they begin to dial back their contributions to the economy.

We taxed our top earners 90% in living memory, which was naively high and absolutely caused distortions, but their current crazy low tax rates are a ridiculous policy failure. We could absolutely fund a small basic income by fixing this alone.

74. intended ◴[] No.44419650{5}[source]
>why does government have to be involved.

>Taxes

If you have taxes, you already have a system which redistributes wealth to places that society requires, so government is already involved.

So the question becomes how the government is involved.

In any system with competing interests, a no holds barred contest favors the most willing to maximize their advantages. Wealth even concentrates even in video games.

To ensure a system where there is some degree of fairness between humans, to ensure that your position in society is not locked in to your inherited fate, or even to ensure that fewer taxes are taken from workers, you need the power of a shared government.

Also: The American position is usually to have no trust in government, which is encouraged by having a right wing media sphere that is dedicated to inserting as much distrust into the system as possible.

So by default in an American context, it’s hard to conceive of a government with high trust, and the default is to never give money to it.

replies(2): >>44421581 #>>44422873 #
75. motorest ◴[] No.44419812{7}[source]
> Denmark already have a limited form of the UBI when seen in that light. The state offers free education and a monthly "basic income" for people studying for a degree, for up to five years.

Your example has absolutely nothing to do with UBI, other than the fact that a small minority gets paid a stipend. It's not universal as it's conditionally granted only to a very small subset of society (students) throughout a limited time (5 years). At best it's another social safety net that is granted to people who would otherwise have no access to higher education.

Yet, in your example you already acknowledge that even when granted to a very specific subset of society which is motivated and mobilized to seize that opportunity to fund personal growth, it is also abused in ways that go exactly against it's purpose as it provides perverse incentives that attack equity at it's core.

> I don't personally believe that the majority of people will become unproductive consumers with an UBI. I think that societal pressure to contribute, the wish to enjoy luxuries, and to get status is enough for the majority to still work.

I'm afraid your personal hopes are misguided and based only on wishful thinking. There are plenty of examples in areas such as social housing where benefits are linked with immunity to "societal pressure to contribute". Providing a resource unconditionally represents a clear incentive to eliminate whatever incentives there are to secure it.

replies(1): >>44425318 #
76. motorest ◴[] No.44419977{6}[source]
> It’s a common framing, but UBI does not have to be that.

Do you understand your comment is a textbook example of moving the goalpost?

I am not "framing" anything. I am describing to you exactly how a universal basic income scheme works. Even the argument presented by UBI proponents to counter the problems with equity and perverse incentives is that the net benefit comes from eliminating all other types of incentives and the overhead they require to validate and prevent fraud.

> Another may be that of a just compensation for giving up access to land.

I don't think you read the source you're citing. It proposed inheritance tax that funded only a very basic social safety net program that at best covered retirement pensions only to those who outlived life expectancy and only around 1/3 of the income of an average agricultural labourer. That is very far from what any UBI proposal required in terms of the sheer volume of income that has to be redistributed.

So even in your example you are faced with the challenges of math and budgeting. Where does the money come from? Apparently income redistribution and the fundamental problems of equity and fairness is not it, and the alternative you proposed would come very short of even covering a pensioner's basic needs. So where do you think the money comes from?

replies(1): >>44424211 #
77. motorest ◴[] No.44420054{6}[source]
> I don’t understand your comments about “fairness” in the context of UBI. Doesn’t everyone get the benefit whether they work or don’t? Otherwise that wouldn’t be “universal”, would it?

Your comment would only make sense if somehow you failed to understand the basics of the issue and fooled yourself into believing the system would only feature consumers and there were no producers at all. Everyone receives free money from the state, and thus it's all good. Right?

But think about it for a second. That money that everyone consumed, where do you expect it to come from? Who pays the bill? It's an income redistribution scheme, but whose income is subtracted do that there is money to pay someone else's income?

Once you figure that out, you will them be in a position to actually start thinking about the actual problem of equity and fairness: what incentive is there for anyone to generate the income that others require?

78. motorest ◴[] No.44420105{6}[source]
> Society is a perfectly valid response to your question. You are used to a certain society, societal rules that doesn't care about it's people.

No, it's quite the opposite actually: you clearly do not care about society if you see it as an ATM to unconditionally fund your whims and cravings all while rejecting any need to contribute back.

I'm asking s very simple question you are trying to avoid answering: why is it fair for those who actually sacrifice themselves to work to fund those who opt to not work. Explain exactly what is fair in having workers support actual freeloaders in society? I mean, you are not talking about social safety nets. You're talking about unconfitional basic incomes. You do nothing, and you get a salary in return. Explain in clear terms how is it fair to those who actual work to see their labor appropriated by those who choose not to work, which might very well be their own colleagues. Explain where is the fairness and equity in this.

replies(2): >>44420511 #>>44424384 #
79. wisty ◴[] No.44420418{6}[source]
I'm more talking about fairness than environmental issues, but it still is valid to say CO2 has more or less peaked and will decline faster due to population declined.
80. TFYS ◴[] No.44420437{5}[source]
Wealth is power. Power matters, as with it you're in a position to decide what can be consumed to begin with. People that control wealth control what policies get implemented, which projects get funded, etc. They will not support policies that reduce consumption because it would reduce their income and power. They will support projects that waste resources if it makes them more money and power.
replies(1): >>44423920 #
81. TFYS ◴[] No.44420511{7}[source]
The fairness comes from the effects that would have on society. Reduced crime, reduced stress, more freedom, more demand for labor, etc. These effects would have positive effects on the economy and that could increase your salary in addition to the other benefits of a safer, fairer society. The happiest countries on earth are the ones that are closest to implementing this kind of thing.

You'd still be getting a lot more than the ones that do nothing. I doubt you'd stop working just because 5% of your income gets given away if the option is to live on 10% of what you're getting by working.

replies(1): >>44421486 #
82. tossandthrow ◴[] No.44420874{5}[source]
The question is: how will there be developed a supply in a world where nobody are provided the means to practice the craft?
83. lan321 ◴[] No.44421486{8}[source]
10% isn't covering rent and food for most people, though. Unless we assume that universal income would send the artists into deserted villages to live on bread and salt. I'm quite stingy, and my rent is 15% of my monthly salary, which is above average for a software engineer. Probably another 5% on that for food, and I practically never eat out and usually buy what's on sale. The only way 10% will work is if I move to the sticks or live in someone's closet. And that's not even including smaller costs such as medical, clothing, tech and misc purchases, transportation, etc. At the same time I'm now earning above average and shoving all of it into shares to secure myself a small "universal income" of my own. Give me universal income guaranteed not to get removed over the next 40-50 years, and I'm becoming a NEET.
replies(1): >>44421883 #
84. MagnumOpus ◴[] No.44421528{8}[source]
Denying it won’t make these loopholes go away.

The US’s CGT base cost uplift on death is insane, and only does not get repealed because it enables the super rich to never pay tax via the ‘buy borrow die’ strategy.

The US’s carried interest rules for hedge funds and private equity partners are insane and only exist because the affected individuals bribe lawmakers and presidents.

replies(2): >>44424218 #>>44429463 #
85. ajsnigrutin ◴[] No.44421581{6}[source]
I was born in a socialist country, with red stars, a dictator, government owned everything, and smuggling jeans and coffee across the border. I'm still here, but the country doesn't exist anymore. Now, our parts over here makes us a small and pretty OK doing EU country with a relatively nice living standard.

I don't trust the government. Why? Because they can't properly operate with the money they're given by us, the workers. Same goes for many recepients of that money, especially the ones outside of "social help".

Yes, we fund art, we have public tenders, artists apply, they get a few thousand euros, produce something to fit "the current political theme" (eg. everybody is talking about ecology, let's make a performance where they throw trash at eachother), 10, 20, maybe 30 people see that, mostly family and local homeless people coming for the free wine, papers are stamped, checkmarks on all the right places, and money has exchanged hands. I would much rather live in a system where workers get to keep that money and spend it for art in whatever way they want. Even in a "semi-mandated" way (eg. tax benefits if you spend X euros yearly on art stuff).

And that's just peanuts compared to other stuff our government spends money on, our healthcare system is beyond broken, forcing you to pay government healthcare insurance (deducted by your employer, at 14.92% of your gross pay + 37.5eur extra, around 5keur yearly per average worker) but when you need an ultrasound for possible kidney stones... well, the waiting times are 6 month, but if you pay out of your pocket for a private clinic, somewhere around 100 eur, you can get one today or at the latest, tomorrow. If you're sick for up to 28 days, your employer covers your sick pay (80% of normal pay), if longer than 28 days, the government pays for that... sounds ok, right? We have people on sick leave for two, three years (24-36months * 80% of ~2500eur average monthly gross) waiting for eg. a knee surgery, that costs 3-5k eur at a private clinic, even less at a government one, but because our government insurance decided to pay only for 20 such surgeries yearly, and the waiting line is 70 people, you're screwed.

So yeah, I don't trust the government. I trust an average homeless alcoholic more with money management, especially because he's operating with his own money for his own benefit, and he'll make sure to get the most booze for whatever he managed to gather and not spend more than he has.

replies(1): >>44421878 #
86. intended ◴[] No.44421878{7}[source]
Well then it should dishearten you to know, that the 2024 Economics Nobel, was won by people who showed that good institutions cause nations to be wealthy, not just correlate.

You’re obviously educated and on HN, so you can appreciate how much harder showing causation is.

Sadly, that does mean, the citizens need to get together and make their system more trustworthy. Getting more money in the hands of workers will not result in a better overall system.

Or in simpler terms - Distrust in the government is the enemy, and all the factors that cause it, real and perceived. Corruption, weak information economies, weakened judiciaries, depleted citizen capacity to build consensus.

We need those systems to work.

replies(1): >>44422038 #
87. TFYS ◴[] No.44421883{9}[source]
The number was just an example. My point was that even if we provide a basic income that covers all basic needs, you'd still get a much better life by working. Housing, food and healthcare is already provided for everyone in many countries, even to people that refuse to work. The only difference between that an a basic income is some bureaucracy. Some people do choose to become NEET, but it's a very small minority, as that kind of life is not very satisfying in the long term.
88. ajsnigrutin ◴[] No.44422038{8}[source]
But we the citizens have very limited possiblities of what to do... we can vote for basically one of two options and that's it, and both options are bad. Newcomers have no chance of breaking through (unless they're cherry picked by one of the options and pumped up by the media... which one side does every 4 years).

The government has the monopoly on violence. We pay the government, we pay the people that should check that they didn't do anything bad/wrong (police, anti-corruption services, etc.), we pay the court system, but they don't do anything. Things that work in every corporation (eg. procurement offices and oversight over them) are broken in many if not all governments, including ours.

If the government wants trust, then they must earn it. So far they haven't. And I'm talking about the whole pyramid, from the top politicians, to the lowest traffic police officer not doing his/her job. And in the system where a politician steals money, the investigators dont investigate and the courts don't prosecute, we can reduce the money they get, because they obviously are not doing the jobs we are paying them for. Jail 10, 20 politicians, and I'll gladly support more investigators (paid by the taxpayers). If they don't, we don't need the ones we already have.

replies(1): >>44422845 #
89. intended ◴[] No.44422845{9}[source]
Remember, its citizens that made the country in the first place. These are all systems, and they operate under either stated, or unstated rules.

Either way, no one is coming to save you, other than your own ability to understand the system, its tolerances, and to effect change / build alliances.

You can even achieve this by doing something small, like cleaning up a local spot, or other parts of your daily routine.

We learn how to operate very complex systems regularly.

90. corimaith ◴[] No.44422873{6}[source]
As Milton Friedman has said, Market Failure is preferable to Government Failure. You are perfectly free to start your own coop or run a business to go against incumbent, and capital and government nowadays is quite enthusiastic to support you in that endeavor.

Americans also have never really lived under a heavy handed government, and that's reflected in the tone here of frustration of market failure. But when the government fails, it's not frustration that takes hold, it's fear. Are you willing to risk that?

91. osigurdson ◴[] No.44423327{6}[source]
OK, so just send UBI to countries as corrupt or less than western ones.
92. osigurdson ◴[] No.44423376{8}[source]
Just identify one poor country that isn't very corrupt and start sending UBI money to it first.
93. SR2Z ◴[] No.44423920{6}[source]
Consumers also don't support policies that reduce consumption because that would reduce their quality of life. Consumers happily take flights, hot showers, run their AC, etc. if it makes their lives easier.

A billionaire consumes less of their income and invests more than a regular person. Wealth is power, but virtually everyone would spend on the same things.

replies(1): >>44425256 #
94. SR2Z ◴[] No.44424186{5}[source]
The wealthy pay the majority of taxes in the US no matter how you draw the lines. Whether or not they should pay more is another issue, but it's wrong to say that Bezos pays "nothing" when he sells Amazon stock at a 20% tax rate.
95. CuriousSkeptic ◴[] No.44424211{7}[source]
If you by moving the goalpost mean I'm not that interested in the actual size of an UBI, then yes that is probably fair. The point of my argument is exactly that an UBI does not need to be conceptualized from the perspective of needs but rather from the perspective of rights. As such I do agree that the math may not balance out to an amount that is actually livable. Which I think is a fine outcome.

The point of my source was not so much the economic argument, which, after all, talks about a reality several hundred years ago. Perhaps I should have linked to https://en.wikipedia.org/wiki/Geolibertarianism instead, to focus on the moral side of it.

I do think however that a modern take, especially if it turns out that recent AI developments will have sizable impact on the demand for human labor, could very well turn out to result in a dividend that is actually livable. Paine talks about land, but we should really consider all commons: Land, carbon emission rights, patents, copyright, trademark protections, electromagnetic spectrum, ip4 address space, dns names, the list can be made pretty extensive.

Perhaps it should end there. We could establish the idea of cooperatively owned legal entities representing various commons. These entities can collect rent in exchange for allocating parts of the commons to private use. I have a feeling it would make sense to take it a step further though, even if the details are probably over my head at the moment. It's already the case that pension funds function as a cooperative ownership of a part of all capital assets. And then there is home ownership and its connection to loans and wages. There probably will need to be some creative restructuring of this situation.

96. SR2Z ◴[] No.44424218{9}[source]
There are many insane things about the US tax system, but it is ultimately funded by the rich and only a little by the middle class.

Personally I think LTCG should be taxed as income and not at a flat 20%, but because that might actually work nobody proposes it and our lefties want a "wealth tax" instead.

97. _DeadFred_ ◴[] No.44424384{7}[source]
Yes actually. I don't think you understand what society is.

Society can make you go to war and die, which is way more unfair. Society can do anything up to and including that.

98. TFYS ◴[] No.44425256{7}[source]
Making a choice to consume as an individual is different from supporting a policy that would affect everyone. Taxing consumption and fossil fuels does have a lot of support. People are willing to reduce their quality of life if everyone else does as well, but their not willing to make the choice not to consume as an individual if everyone else can continue to do so.

A billionaire has the power to affect policy in a way that the average consumer doesn't, and is more likely to use that influence to make themselves richer than to push policies that benefit everyone.

99. _DeadFred_ ◴[] No.44425276{5}[source]
Bezo's wealth come on the back of unsafe products flooding the market. On the back of Amazon warehouse workers having to see in-house doctors for repetitive stress injury and getting biased opinions in order to protect the company. Amazon warehouse workers are treated so badly (to build Bezo's wealth) and paid so little (to build Bezo's wealth) that Amazon has to consider running out of people willing to work their facilities.

Velocity of money matters. Builds. Bezo's sucking up wealth instead of paying workers retards the economy.

There is a reason Smog the Dragon is 'villian' prototype told by humans since forever. I get modern American conservatives think it is a model to emulate and is actually the highest for of being, but it's not.

100. just_some_guy_2 ◴[] No.44425318{8}[source]
> I'm afraid your personal hopes are misguided and based only on wishful thinking

Oh, I knew somebody would go there. My personal hopes are at least as valid as the blanket statement that everybody will automatically fall to the lowest denominator and contribute as little as possible given the chance. I'm just honest enough to prefix my predictions with "I believe."

And of course the Danish education stipend is not a real UBI. Nobody has implemented a real ubiquitous and unlimited UBI. But there have been trials, like the one in Finland involving 2000 people over two years. Compared to that, I think the Danish "trial" may be closer to the real thing. It has run since 1970 and involves all students of higher education in the country in that entire time frame.

If I was a researcher trying to figure out what happens if you give a group of people a monthly stipend with very few requirements and no stipulations about how the money are going to be used, then I at least would regard that as valid data.

101. WorldMaker ◴[] No.44425989{5}[source]
A lot of the "magic" of UBI ideas is the time value of money and a lot of the same fundamental concepts as other forms of passive income. One way to think of it is your Government making a massive investment in "short term loans": your UBI payment is a loan of $X on April 16th with an expectation to pay Y% of $X back on April 15th of the following year (as the taxes you owe on the income you made that year). If Y% is greater than or equal to 100% it is exactly a loan, with interest. If Y% is less than 100% it is a government subsidized loan. A lot of the debate inside UBI discussion is what is the most effective Y%, and a lot of the beliefs about UBI is that you can do it with a surprisingly small Y% for among the same reasons that the Federal Reserve can give 0% loans to most banks. If they can give such favorable terms to short term loans to banks, why can't they give that to average citizens? When you look at all the complex deductions in the existing tax code as existing loans with favorable percent and add them together, that also drops your Y% and potentially simplifies things. (Instead of deducting lots of individual line items, you shift Y% individually, the terms of your personal annual loan agreement. Or you can leave Y% consistent and adjust $X up to replace deductions with larger loans.)

If "everyone" lives on $X - Y% * $X for an entire year the loans are fully repaid each year and the government isn't "losing money" on its "loan terms" and is meeting the subsidies people expect from their government. That's not a "losing" situation. (It's not a likely scenario either, because at least some people are always going to want more than $X - Y% * $X dollars a year for their lifestyle or their dreams or their investments or their philanthropy or their vices.)

(ETA: It's also not directly an assumption in every form of UBI that Y% is less than 100%. There are UBI schools of thought that because of the time value of money, some charged interest is not only possible, but potentially a good idea as an incentive to invest the UBI payment in more than just mortgage/rent/lifestyle, but also something that does appreciate you with interest, such as the opportunity cost of accepting a job or a basic savings account. I tend towards the Y% <= 100% feelings, but I understand the Y% > 100% crowd.)

102. ◴[] No.44428317{5}[source]
103. xyzzyz ◴[] No.44429463{9}[source]
The "buy borrow die" strategy is a meme. It just doesn't work the way you think it works. People just repeat stuff they heard on the internet with no real understanding. It is useful to avoid paying the capital gains tax in the very short term, but is useless for periods over 4-5 years, because it loses you more money than you'd spend on taxes.

To be specific: let's say that you own $1.1B worth of stock, $1B of which is unrealized long term capital gains. If you sold it all today, you'd owe $200M. Let's say that you're 40, you spend $5M a year, and you die at 80. So, you need $200M to finance your lifestyle, and then the remainder is a part of your estate. If you just sold $240M today, you'd pay $40M in tax, and had $200M after tax cash in your checking account to spend over the next 40 years. If you instead borrow $5M a year against your stock at very attractive terms like interest rate of 5%, and no payments until your death, you'll owe $200M on interest over these 40 years. Just paying the tax would have saved you $160M! It's even worse if you get more realistic terms, because 5% rate on a personal loan is too good to be true, and you'll need to borrow even more to make the regular payments.

What about the remainder of your estate? Depending on whether you just sell as you go, or borrow to finance your spending, your estate is left with something between $500M and $800M. Guess what, now they owe estate tax, which is 40% of this sum (minus $30M exemption). Oops!

You can avoid the estate tax, though, but the kicker is that all of the ways of doing that do not allow you to step up the basis upon death: they just allow you to avoid the gift tax, but they do little to escape the capital gains income tax. No free lunch here either.

104. anigbrowl ◴[] No.44437025{5}[source]
> You're not. You are not the only person paying tax.

Yes, I am.

OK buddy

105. mystified5016 ◴[] No.44439326[source]
First because generally in order to be a good person you have to care what happens to other people.

Second because the second order effects of reverting American society to Victorian slums would be incredibly bad for the economy and your tax burden.

Because somehow a plurality of Americans seem to have been convinced by the guy stealing all their money that it's someone else's fault and you should stone them to death instead.

Because letting large portions of the population starve to death slowly is just a bad thing in general?

Because it would be good for everyone including you.

Because you'd wish that someone else wasn't a smug asshole with an "I got mine" attitude and gave you help when you need it.