Universal basic income (UBI) has mixed effects on overall economic productivity. Some studies suggest that implementing UBI can lead to a decrease in labor supply and a contraction in the labor market . This is due to the potential disincentive for recipients to work when they receive unconditional cash transfers . The rise in distortionary taxation required to fund UBI can also negatively impact labor force participation . However, other studies argue that UBI can have positive effects on productivity if there is a social contract in place or if there is a substantial stimulus to productivity . The […]
Full Post at typeset.io