Milton Friedman’s Negative Income Tax

From: J
Sent: Saturday, April 27, 2019 8:33 PM
To: wblock@loyno.edu
Subject: Question

Dr. Block, My name is J, I was watching your wonderful speech at the Mississippi libertarian party convention on Facebook live stream today

(https://www.facebook.com/MSLibertarianGal/videos/295923901329672/)

and I wanted desperately to ask so many questions, unfortunately I was unable to attend. However, given that you gave your email address for everyone in attendance to ask you a question if they were not able to, I was hoping that even though I was not in direct attendance that you would be willing to answer just one question I would have asked if I were there in person.

That question is, what are your thoughts on Friedman’s negative income tax plan as a temporary replacement for welfare?

Once again, I really enjoyed watching and listening to you today and want you to know that I have read privatization of roads and highways and I absolutely loved it.

Thank you. Sincerely, J

From: Walter Block [mailto:wblock@loyno.edu]
Sent: Monday, April 29, 2019 6:12 PM
To: J
Subject: RE: Question

Dear Jonathan:

Thanks for your kind comment.

As an anarchist, I oppose all taxes. They are compulsory levies. Compulsory payments are robbery.

I oppose this specifically, since it is a transfer of wealth from rich to poor, and coming from a person widely known as a libertarian, it impugns our entire movement. Whenever we take money from rich Peter and give it to poor Paul, we discourage both of them from earning income, being productive.

Here are some critiques of Milton Friedman’s “negative income tax.” I am greatly disappointed that Friedman, who is widely known as a libertarian, should favor such a policy.

https://mises.org/library/fallacies-negative-income-tax

https://mises.org/library/friedmans-mistake

https://mises.org/wire/universal-basic-income-costs-more-you-think

https://mises.org/library/1040-plunder

https://mises.org/wire/forget-guaranteed-income-%E2%80%94-governments-should-stop-destroying-income-first

https://mises.org/library/dead-zone-implicit-marginal-tax-rate

Best regards,

Walter

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12:38 pm on August 19, 2019