This is why having an Econ degree is frustrating. It's the simplest god damn concept and people just can't grasp it. You give someone who normally makes $500 a week a $2,000 a month stipend. They stop working, naturally. How much money do you now need to offer them to get them to start working? Well they haven't learned a new skillset overnight, so it'll be the same labor, but now to get them to do the same labor, you'll need to pay them considerably more for them to even bother. How do you afford that increased cost? You raise prices. But since you implemented this idiot program for every single person in the country, it's happening in every industry, driving prices for everything through the roof.
You couldn't create inflation faster if you fucking tried.
Yay, I get $2,000 a month for FREE!
Oh, wait, so does everyone else. My rent is now $2,000 more a month!
This is why having an Econ degree is frustrating. It's the simplest god damn concept and people just can't grasp it. You give someone who normally makes $500 a week a $2,000 a month stipend. They stop working, naturally. How much money do you now need to offer them to get them to start working? Well they haven't learned a new skillset overnight, so it'll be the same labor, but now to get them to do the same labor, you'll need to pay them considerably more for them to even bother. How do you afford that increased cost? You raise prices. But since you implemented this idiot program for every single person in the country, it's happening in every industry, driving prices for everything through the roof.
You couldn't create inflation faster if you fucking tried.