Sorry, I've got to jump in here.
I'm not sorry at all.
Part of the problem with a cash UBI is that the poor typically spend any cash they get buying fast food, cigarettes, and maybe alcohol maybe drugs and then running out of money before the next check arrives. ... You would just be subsidizing the fast food industry, payroll lenders, pawn shops great deal of the, and so forth.
I have several thoughts on this. First, I think that is an overgeneralization of "the poor", but it would certainly apply to
many people. Even "subsidizing" some of
those industries, though, does a great deal of the work, as one of the points is still getting the money to the bottom of the economic ladder. It gets money into the local economy. Welfare, unemployment compensation, social security do the same thing. Interestingly, though, we don't complain about what people spend their SS "benefits" on, or unemployment checks... we
assume they are buying necessities (and they usually are). But
welfare comes with all kinds of strings and the social opprobrium that goes with them, even though that money serves the same purpose.
You can avoid that problem with my free food, shelter, clothing, and medical care approach.
While I agree, there is a certain portion of the population that are not going to be reached no matter what resources are available to them. Homelessness is not solved even in communities with robust emergency housing options. Some people simply will not use shelters. (I have a friend with a schizophrenic daughter, so have now seen it first hand.). But, the perfect should not be the enemy of the good.
As for creating a UBI tax credit, that only works for people who pay some taxes and file. You would be boosting the working poor a bit, but ignoring everybody below that level!
I disagree, but not strongly. The purpose for a tax credit is specifically to establish participation, as would the requirement to use direct deposit. Poor people are denied many of the basic resources and institutions we take for granted. By using direct deposit and making bank services available to them they get into "the system." They become participants, they have "a stake" in the economy. Similarly, a tax credit system gives them a stake in the government. Paying/filing taxes is a civic function, not a punishment.
I also think "the poverty line" is hogwash: $11,770 income for an individual is poor but certainly survivable. The real poor are homeless and have to beg or collect aluminum cans to survive.
There has to be a base line. I think $12000/a year is reasonable. Enough to survive, but not be complacent. I think vigorous workforce training, housing, and economic literacy programs would also be important.
