Yes I did. He basically is of the opinion that the economy will shrink because of people quitting work to exist on a smaller guaranteed wage. I think not so many will do that, and they will be more than counterbalanced by those for whom the guaranteed wage is a significant increase in consumption power.

Which way it will go isn't so easy to judge without data. I favor experiments to see. The higher the guaranteed wage, the higher the stimulative power, but also the higher the incentive for fully-employed people to quit work. You'd need to find a best level of guarantee to optimize things.

DQ's plan falls apart beginning with his title unless the Fed can figure out a way to keep interests rates low in the face of significantly increasing debt.

What makes you think debt will significantly increase?

We can use quantitative easing to get rid of the debt.

Just print the money and pay it off. :)

http://joebageant.net/?p=246

You're premise begins with starting a major welfare program with borrowed money that is keeping our economy afloat. As population increases the program will grow. In addition, cost per recipient will increase over time because that's how things work. Further, the Fed will still have to continue economic stimulus borrowing for the foreseeable future. And all this will cause interest rates to rise generating even more debt.

Oh, I've gotten my mind around it, alright. Creating money = devaluation of currency = inflationary pressure. That was my comment above about the QE program always intended to be temporary. If you make it long term, evenually you'll get inflation. The only reason I think we've not had inflation with QE this time is that the conditions are so lousy for economic growth.

If your long term objective is to put economic pressure on the "fixed class" folks to move out of the fixed class, then inflating the cost of all goods and services, including essentials, is one way to do it, I guess. But once you let that horse - inflation - out of the barn, its awfully hard to get it back in again.

No, that's not what I said. I said that was one of six different variables in your scenario what would put pressure on the economy and potentially result in negative growth. There were five more that I cited, and probably some more that I missed.

Which is fine with me. Inflation hurts creditors more than it does debtors. And these days most creditors are predators. So fuck them.

Thanks to Globalization, economic growth here will be slow for some time to come. I'm also thinking we have low inflation because there are not too many dollars chasing too few goods.