If you're just looking for redistribution, I guess that's not a bad plan. It forces people to work to get the benefit. Total consumption can't go up to meet the new wages, because nothing new is being produced. This will still cause inflation inasmuch as the newly higher-paid workers will consume more, unless there's a commensurate decre…
If you're just looking for redistribution, I guess that's not a bad plan. It forces people to work to get the benefit. Total consumption can't go up to meet the new wages, because nothing new is being produced. This will still cause inflation inasmuch as the newly higher-paid workers will consume more, unless there's a commensurate decrease in consumption at higher income brackets that pay more taxes. So, redistribution - IF - it works, or inflation if that doesn't pan out.
If you're just looking for redistribution, I guess that's not a bad plan. It forces people to work to get the benefit. Total consumption can't go up to meet the new wages, because nothing new is being produced. This will still cause inflation inasmuch as the newly higher-paid workers will consume more, unless there's a commensurate decrease in consumption at higher income brackets that pay more taxes. So, redistribution - IF - it works, or inflation if that doesn't pan out.