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initiative, referendum, and recall too much government

SF Scheme Scuttled

The proposed tax was very popular. In San Francisco. It polled at nearly 75 percent in favor. 

But it possessed a fatal flaw. 

And worse.

The fatal flaw? The numbers didn’t add up.

Organizers spent nearly half a million bucks developing and promoting and getting the petition signatures to place Proposition K on this November’s ballot.

The notion? Tax Amazon sales within city limits to fund a guaranteed income scheme in the Golden City.

But then they learned — after it qualified for the ballot — that it was an incoherent tax-and-spend mess. Its chief pusher, John Elberling, admitted, reports The San Francisco Standard, that “he made mistakes in calculating how Amazon earns its revenue in the city.” And, The Standard continues, “the City Controller’s office found that the tax measure would actually harm hundreds of small businesses in San Francisco and cut revenue to the city’s general fund by about $10 million a year.”

So Elberling ate crow, admitting to error (and also, apparently, to misleading petition signers), and a judge removed Prop K from the ballot.

Whew. Disaster averted.

Alas, Elberling promises to “perfect” his scheme, and advance it again.

Which is ominous, for the core idea itself — adding on more taxes to fund a trendy-but-disastrous “guaranteed income” — is not the way out of California’s progressive-induced nightmare. It’s just a vastly bigger version of what’s gone on before.

If Californians don’t develop more common sense about the limitations of salvation-by-government, they are doomed to repeat such folly.

That goes double for San Franciscans.

Who this time have a reprieve, thankfully.

This is Common Sense. I’m Paul Jacob.


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Finland on 800-Euros-a-Month

Some folks think the world owes them a living.

Must we appease them?

Should government hand every man, woman and child a check each month to make sure we’re all taken care of?

Finland is embracing this basic idea with a pilot program, providing everyone an “unconditional basic income” (UBI). Treating citizens equally is enshrined in Finland’s constitution, so every Finn will receive the same 800-euros a month without regard to income or lack thereof.

It sounds like Democrat George McGovern’s “guaranteed annual income,” which was mocked and ridiculed during the 1972 presidential campaign.

But you might be surprised who has supported the UBI: free-market economist Milton Friedman advanced the similar “negative income tax” back in 1962; Martin Luther King liked it; Austrian economist F. A. Hayek endorsed the concept; Charles Murray, author of Losing Ground, has developed a version of the proposal.

The rationale? Save money by consolidating duplicative welfare programs. After all, the U.S. government runs 79 means-tested benefit programs, each with its costly, redundant bureaucracy.

Counter-intuitively, perhaps, Finland’s social engineers think the move will increase employment. Why? Because welfare benefits currently can be withdrawn when Finns gain employment and the attendant income, which discourages folks from risking their secure base benefits.

That’s the case here, too.

The government passing out money — our money — stinks. Folks should take care of themselves, or depend on charity — not confiscatory taxation. Yet, if this version of a safety net does indeed encourage industry, employment, and good old-fashioned money-making amongst the poor . . . it may very well be a step in the right direction.

This is Common Sense. I’m Paul Jacob.


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