Common questions and concerns about Universal Basic Income, and AI job displacement.
Here in Aotearoa, it's easy to stick with “if it’s not broken, don’t fix it.” We’re one of the safest and most stable countries on Earth — but AI knows no borders. We need a plan, and we need to lead — not just in innovation, but in humanity and infrastructure. We’ve done it before. Let’s do it again.
Below are some of the most common questions, concerns and objections to The Prosperity Deal, and our answers to them.
Basic Rebuttles and Concerns
"This is just free money for lazy people."
Universal Basic Income isn’t a handout—it’s a public dividend, funded by those who profit most from automation. Everyone receives a base tier. Additional support recognises civic, care, and cultural contribution—whether paid or unpaid.
“People will stop working if you pay them.”
UBI is designed to reward contribution, not replace effort. Payments taper above the 70th income percentile to keep work incentivised. Most recipients will continue to work—but with greater freedom, less stress, and more purpose.
“It’ll bankrupt the country.”
The policy is fully costed with a diversified revenue model. We’re not printing money—we’re modernising the tax system to reflect digital-era productivity.
“Sounds like socialism.”
It’s not socialism—it’s a shared prosperity model grounded in fiscal responsibility, private-sector partnership, and long-term national stability.
“Businesses will leave New Zealand.”
Not true for most. Relocating is costly, risky, and often not feasible. The Prosperity Deal includes corporate ROI, stability incentives, and collaborative policy design. Businesses that contribute earn stability, and consumer loyalty from the New Zealand public. The Prosperity Deal is good for business.
“It’s too complex to roll out.”
It simplifies welfare by replacing fragmented systems with one trusted baseline. Automation tax thresholds are clearly defined, and rollout is phased and supply-aware.
“People will just fake contribution.”
Self-reporting is backed by random audits, data-matching, and optional community verification. Fraud is a risk in any system—this one is built to catch it.
“It’ll cause inflation.”
We've made a plan for this. UBI payments are regionally calibrated and indexed to cost-of-living data—not a flat handout. The policy also includes supply-side investments to grow housing, energy, and food systems alongside demand.
“What if automation revenue collapses? Won't UBI collapse too?.”
No. The Prosperity Deal is designed with dual engines: The Universal Base Tier is funded through stable, traditional taxes and cannot fall below a guaranteed floor. Only the Prosperity Dividend top-up fluctuates with economic conditions—protecting both fiscal responsibility and social trust.
"Landlords will just raise rent."
In addition to taxation measures on landlords (e.g., Progressive Landlord Contribution, Land Value Tax), the Prosperity Deal rollout includes proactive housing supply expansion strategies in all rollout regions.The goal is not just to prevent rent inflation — it’s to expand affordable housing options so that prosperity is genuinely shared, not extracted.
Technical Questions and Concerns
“AI might not replace enough jobs to fund this.”
UBI isn’t just about job loss—it’s about job compression. One AI-enhanced worker may now do the work of five. That means fewer jobs, less wage growth, and a shrinking tax base. The Prosperity Deal closes that gap before it grows.
“Automation is too hard to define for taxation.”
This policy includes legally enforceable definitions, displacement thresholds, audit triggers, and reporting requirements. Ambiguity isn’t an excuse for inaction.
“Tiers complicate a policy meant to be simple.”
Universality is preserved through the base tier. Prosperity Dividend tiers reflect meaningful contribution—not conditionality. Dignity is guaranteed; contribution is celebrated.
“This is too reliant on AI trends—what if AI stagnates?”
If disruption slows, we gain time to adapt. If it accelerates, we’re ready. The funding model includes buffers, bonds, and alternative tax sources to manage volatility.
“Cultural definitions of contribution are too subjective.”
Contribution is verified through trusted existing systems — just like verifying a driver's license or residency status today. Caregivers, workers, and regional residents provide simple documentation once. Plus, we run random spot audits to protect integrity, just like any good system. New Zealanders are proud to contribute. We're building a trust-based system — with smart safeguards, not heavy-handed bureaucracy.
“It risks social division by creating tiers of deservingness.”
The narrative strategy celebrates all forms of contribution—care, culture, creativity. It expands who is seen and valued, not ranks them.
“Corporates will exploit loopholes through offshoring and gig work.”
This policy includes anti-avoidance rules, offshoring triggers, contractor reclassification penalties, and automated audit systems using the Displacement Probability Index.
"This will make New Zealand uncompetitive in world trade."
The Prosperity Deal includes specific protections for exporters, including capped rates, temporary exemptions, and reinvestment into regional industries. It’s designed to keep our trading sectors strong while ensuring automation doesn’t gut the communities behind them. Fairness and competitiveness can go hand in hand — and this policy makes sure they do.
“It’s utopian, not grounded in real economics.”
This policy has a spreadsheet. It’s fully costed, legally enforceable, and deeply human. That’s not utopia. That’s leadership.