It makes more sense in a country that already has a social safety net; I've read somewhere (citation needed, I know, I'm not very deep in the subject) that the cost and overhead of assessing and paying the individual cases of unemployment, long term sickness, disability, homelessness etc is more expensive than just giving everyone a basic income.

But yeah, #2 is what I'm afraid of too. Paraphrasing a cartoon villain, if everyone is wealthy, nobody is.

Besides, in the past decade, cost of living / housing / rent has gone up so much that even a $1000 / month basic income can't give you anywhere decent to live anywhere. In addition to basic income, we need basic housing - which is dangerous, because it invokes the USSR's rows of depressing and substandard apartment buildings. But everybody should be able to live comfortably at a standard of living. Everybody should be able to have access to and afford a two bedroom house or apartment on a single income, or the social safety net if they are not employed.

1) So you're saying that giving people $1000/month would open up zero new possibilities for people?

2) It's not that simple because different goods will respond differently. Certain goods will get cheaper because the increased sales will allow for more economies of scale.

It seems pretty complex to design a version of a lax unemployment policy that eliminates steep cliffs that might disincentivize working, is fair, and also doesn't let anybody slip through the cracks. How do you handle someone quitting voluntarily, or retiring early, or starting their own business which doesn't pay them yet, or only paying themselves a small amount, or working a part-time job on the side while focusing on something else, etc.

The income tax code already exists and has to solve some of these problems, so it seems easier to give everyone the money and then tax it back from the highest earners later (or implement it as a negative income tax, but that has its own hurdles as well, i.e. imagine a homeless person needing to wait until tax season and then getting paid for the whole year, it would be a big hurdle and they'd still need other assistance programs the rest of the year if they didn't budget the money well enough).

> 2) rent goes up $1000/month nationwide so it is an even emptier gesture

Do you also expect food, transportation, entertainment, and technology costs to go up $1000/month nationwide?

Rent goes up due to a lack of available apartments or houses in the area. If public policy is geared toward allowing development of sufficient housing for the people wanting to live in a place, that will have a far bigger impact on rents than UBI.