UBI is implemented tomorrow. Every citizen gets $1000 per month.

Landlord now knows you have an extra $1000 that you never had before. Why wouldn’t the landlord raise prices?

Now you have an extra $1000 a month and instead of eating rice and beans for a few meals you go out to a restaurant. The restaurant owners know everyone is eating out more so why not raise prices and maximize shareholder profit as always. The restaurant/corporation is on TV saying, “well, demand increased and it is a simple Economic principle that prices had to increase. There’s nothing we can do about it”.

Your state/country has toll roads. The state needs money for its deficit. UBI is implemented and the state/country sees it as the perfect time to incrementally raise toll prices.

Next thing you know UBI is effectively gone because everything costs more and billionaires keep hitting higher and higher all time net worth records.

  • Zippy@lemmy.world
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    4 months ago

    Who opens them up exactly? And that person who invests in a restaurant will leave some other job resulting in that much less product being built this something rises in price somewhere.

    Rent caps just result in less people or corporations investing in rental properties. If you are alread have 90 houses and 100 people want to rent, how does caps encourage more houses?

    At the end of the day the only thing that matters is how productive we are in total. Anything that is scarce will be high in price and if you mandate a lower price, then some people will simply not have shelter if you want to use that example.