Your “jobs guarantee” suggestion doesn’t make any sense.

Well, it kept Japan afloat during their recessive years, so I’d say that unlike “basic income”, it has a track record, albeit one that could stand some tweaks.

On the other hand, what the hell would a “jobs guarantee” for horses have looked like? I can’t imagine anything sensible.

Not for horses, perhaps. But every governmental agency in the country is manpower-limited by their tax base; a pothole just bit me today, because the although the City has the resources to fill it, they have a wait list a year long until their workforce gets around to it. Human beings are a lot more expensive than tar and blacktop.

I can think of literally dozens of examples where a fed-funded jobs guarantee would improve the lives of the citizens, if not solve some major social problems we have (how about a flood of extra teachers and teacher’s aids into low-income classrooms), whereas the basic income doesn’t do shit but maintain the status quo.

You worry about “moral hazard”. Which of the above is the worse option?

There is no worse option to a society or economy than when individuals are incented to take antisocial or antieconomic options. The visual of “circling the drain” comes to mind.

“Moral hazard” is not so much a risk with basic income.

Indeed? Do you really think that the human creature is anything but innately slothful, if sloth is enabled?

I’ve engaged in discussion with proponents of GBI on several occasions, and read articles by others on many more. It’s come to my realization that the people who are most supportive of GBI are themselves industrious individuals who find themselves in situations where their preferred endeavor is not particularly well compensated. I think they err when they assume that everyone is “wired” the same way they are; in fact, I believe them to be in a small minority.

In educational psychology, there is a well-known discussion about student motivation. Simply put, the question is WHY does the student wish to learn. Do they wish to learn for the joy of learning, the betterment of themselves? Or do they only learn because they desire a reward, be that a good job, a good grade, or the avoidance of failure. Individuals in the first group, that industrious one, are called intrinsic motivators. The latter group are referred to as extrinsic motivators.

Obviously, an intrinsic motivator would use a life enabled by GBI to do something to better themselves or the society at large. This is not to say they are entirely altruistic, but they are a lot more like Mother Theresa than they are like Martin Shkreli.

An extrinsic motivator, OTOH, their lives enabled by GBI, would largely sit around and drink coffee, if fortunate; vodka and opiods would also be prime candidates for their attention, I would think. So, you see the problem of moral hazard rather well outlined.

And…..studies go back decades on the issue of motivation. The unfortunate reality is that the percentage of us who are extrinsic motivators is well above 80%. I do not think this bodes well for GBI.

What exactly will humans do in such a case?

See above. I am surprised you are having such a gi-normous failure of imagination.

And in a case where a gigantic part of the workforce is idled, what good are “resumes”?

Easy peasy. If I have a road crew filling potholes which is half city employees and have jobs guarantee employees, I just make sure that the jobs guarantee guys make 70% or so of what the city employees make. Instant motivation to do a good job, so when a spot opens up on the city payroll, I get the job and an instant raise.

The point is that any proposal like “jobs guarantee” requires a bureaucracy and that invites lobbying, power creep, sclerosis, fraud etc. etc. etc. I.e. “moral hazard”. Basic income does not suffer from these problems.

It does have it’s “potholes” (pun intended) but none of those fit the definition of “moral hazard” per se. Just because something is hard doesn’t mean it’s not worth doing.

Data Driven Econophile. Muslim, USA born. Been “woke” 2x: 1st, when I realized the world isn’t fair; 2nd, when I realized the “woke” people are full of shit.

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