Mike “Mish” Shedlock's
Sitka Pacific Capital Management,Llc
Spain is about to implement Universal Basic Income. But's let's put the correct label on what's happening.
Universal Basic Income
Please note Spanish Government Aims to Roll Out Basic Income
The Spanish government is working to roll out a universal basic income as soon as possible, as part of a battery of actions aimed at countering the impact of the coronavirus pandemic, according to Economy Minister Nadia Calvino.
Social Security Minister Jose Luis Escriva is coordinating the project and plans to put some sort of basic income “in place as soon as possible,” with the main focus on assisting families, Calvino, who also serves as deputy prime minister, said in an interview Sunday night with Spanish broadcaster La Sexta.
But the government’s broader ambition is that basic income becomes an instrument “that stays forever, that becomes a structural instrument, a permanent instrument,” she said.
Honest Thieves
At least the Spanish government is honest about its redistribution thievery.
They do not all pretend that it's temporary.
Honest Theft™ is the best one can hope for these days.
Guaranteed Free Money™
Rather than labeling this Universal Basic Income (UBI), I propose Guaranteed Free Money™ (GFM)
The money is not really free, however. Government will tax the hell out of everyone then return a portion to everyone.
Of course, some people will put in way more than they get back.
So this is really a redistribution scheme that robs the middle class and upper classes then redistributes the money to everyone to make it appear like a "universal" benefit.
Then again, the MMT crowd will propose this really is "free money", that taxes don't have to be collected, and we can all live in a fairy tale economy of Guaranteed Free Stuff™ (GFS).
Guaranteed Free Stuff™
- Guaranteed Free Money
- Guaranteed Free Healthcare
- Guaranteed Jobs
- Guaranteed Standard of Living
In case you are wondering "What can possibly go wrong?" please look at Venezuela, Cuba, or Zimbabwe for some extremely likely answers.
Meanwhile, I have a suggestion: Buy Gold.
For discussion where and how, please see No WSJ, Gold is Not the New Unobtanium: Where to Buy?
Also see Gold's New Breakout is Very Bullish: Here's Why
Mike "Mish" Shedlock
This material is based upon information that Sitka Pacific Capital Management considers reliable and endeavors to keep current, Sitka Pacific Capital Management does not assure that this material is accurate, current or complete, and it should not be relied upon as such.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.