If the basic income is reasonably low (the income figure seems high for the US, but cost of living is much higher in Switzerland), I don't see a major decrease in productivity. If anything, I see an increase, due to elimination of extreme disincentives the means-tested programs create. But there surely is a level at which what you are describing would happen, and that is exactly what I am worried about.
The regressive payout sounds like a good idea, but isn't it equivalent to just flattening the income tax?
> there surely is a level at which what you are describing would happen, and that is exactly what I am worried about
Yes. Essentially the Swiss will be gambling that the legislated payouts won't be high enough to trigger that scenario.
I can take your question about income taxes several ways, but I will say that progressive income taxes make much less sense when coupled with a guaranteed minimum income.
Also, a regressive payout has the opposite effect of a progressive income tax since the regressive payout enhances a household's ability to net more income while a progressive income tax makes it harder to net additional income.
Though disincentivizing marginal productivity may acceptable if the ultimate goal is redistribution of wealth instead of simply reducing the tax burden of people with modest incomes.
The regressive payout sounds like a good idea, but isn't it equivalent to just flattening the income tax?