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.
Why don’t we need to do the same level of overthinking for tax breaks?
To a certain extent we do, and frankly if UBI ever comes to the US it will probably be in the form of a Tax Credit. While most of us on Lemmy would probably agree the end result is grossly inadequate, the weird soup of taxes, credits, and deductions is the result of generations of politicians working the most accessible levers to manipulate economic policy, occasionally even with decent intentions.
A tax credit is not UBI. UBI is paid throughout the year as income.
It would be comparable to social security payments in frequency.