Friday, 10 August 2018

Killer Arguments Against Citizen's Income, Not (18)

The Centre for Social Justice have gone full retard:

This paper argues that UBI is a false hope. While offering low income individuals better financial support is something the CSJ endorses, UBI:
• Is unaffordable, putting at risk the provision of important services in healthcare and education.
• Doesn’t meet the needs of low income households facing complex problems such as drug addiction, dangerous debt, and family breakdown.
• Provides a major disincentive to find work, which is the best route for many people out of poverty.
• Is no more generous to the most disadvantaged households than the provisions under Universal Credit.

They have decided to completely abandon things like facts, logic, basic maths, knowledge about the current tax and welfare systems, for example:

UBI removes any disincentive to declare income [true] but has an effect on the incentive to find work, increase hours and increase pay (dependent on the generosity of UBI) [untrue unless it is a stupid high amount which nobody is proposing]. Lastly, UBI is not tax deductible [WTF?], meaning it is paid out and taxed at the applied marginal rate [not true].

The chart below plots the weekly earnings profile of our minimum wage worker under Basic Income that offers £313.80. It shows how the universal nature of Basic Income has no impact on the marginal tax rate (MTR)
[the chart shows this, but only if you completely ignore means testing under current system]. It also shows that no-one can expect to earn less than £320 per week [not true].

Emailed in by BenJamin'.