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Comment by the_benno

Your meaning was indeed clear but I find your reasoning flawed and the cargo-cult intellectualism... silly and pretentious.

The main flaw, to me, is the 1:1 correspondence you draw between the magnitude of UBI-style benefits and cost of living. That may be true (at least under some simplified/idealized econ101 assumptions) if UBI was the sole source of money in the economy, but that's obviously not the case. The crux of the "UBI doesn't cause spiraling inflation" argument is that UBI accounts for a sufficiently small fraction of total incomes that its benefit (greater spending power for lower incomes, and the downstream economic benefits of that spending) outweighs its nonzero but noncrippling inflationary effect.

That is, though the $10 cash benefit you describe may of course increase COL, it does so by some amount between $0 and $10 that is influenced by all sorts of factors you're glossing over.

parent the_benno 5 years ago

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