I wanted to chime in and also add that over time basic income would increase the cost of good, whether through taxes or vendors raising prices. The fact is, with all forms of minimum wages or basic incomes inevitably lead to increase in prices. That's pretty much how macro economics works.
That would most probably be the case if people get enough to satisfy current demand for products and at the same time create a surplus of capital to increase demand. If you got your basics covered, just barely, I don't think demand would rise.
I wonder what sort of feedback loop would result if they tied the basic income to something like the CPI[1] in the USA? -- As the price of living increased(due to the surge in demand) the basic income would be increased to retain the same buying power.
I would think some sort of controls on the prices, possibly only on things the basic income is expected to pa(rent, insurance, food, etc...) would be needed to prevent a runaway inflation feedback loop. Maybe that would be enough to prevent runaway inflation?
I like the idea of it but proper implementation would be very difficult.
