,
6 tweets,
3 min read
Read on Twitter
A 10% VAT would draw $2,435 from the poorest 20% and $11,042 from the richest 20% which is 4.5x as much money from the rich as the poor. Combined with a $12k UBI, that's a net benefit of $800/mo for the bottom 20% and a net benefit of $80 for the top 20%.
mattbruenig.com/2017/04/05/why…
mattbruenig.com/2017/04/05/why…
So where does the money for UBI come from? It comes from even higher up the income ladder, mostly from the top half of the top 20%. Inequality is so large that a Freedom Dividend as proposed by @AndrewYang would financially benefit almost everyone except those at the very top.
With that said, there's an entirely legitimate concern about those in the bottom 20% who are getting more than $1k/mo in benefits who would under @AndrewYang's plan potentially face $200/mo more in monthly costs if they keep their benefits. This concern does need to be addressed.
Potential options include excluding traditional welfare recipients from the VAT, or VAT rebates, or a small bump in welfare benefits to compensate for the VAT, or extending the Freedom Dividend to everyone plus reducing the size of existing benefits through taxing them as income.
As I've expressed before in my own proposed plan for UBI in the US, I think UBI should exist under everyone's feet, and existing programs should be modified in such ways so that everyone is better off, including all seniors and everyone with disabilities.
medium.com/economicsecpro…
medium.com/economicsecpro…
@threadreaderapp unroll
