General Discussion
In reply to the discussion: Sorry, but this "$2,000/month for everyone" is total crap [View all]meadowlander
(5,142 posts)You also have to factor in the cost of administering means testing particularly for self-employed people whose salaries could be seasonal or could vary significantly from year to year. How many people do you need to hire to assess applications and what is the cost in lost time of making everyone apply for it and prove their income?
I haven't done the math in this example, but in some cases the cost of administering means testing is more than the cost of just giving the benefit to everyone.
The middle class person who didn't lose their job is still likely to spend the money on goods and services creating more demand, creating more jobs for the person that lost theirs. Or maybe having a secure income will give them the confidence to quit the pointless corporate job they hate and start their own business which will eventually hire people.
So it's not like that spending doesn't also, at least in part, benefit the person that did lose their job.