2035:
The planet was ecologically going to hell.
Automation had generated 75% unemployment.
The need to design an alternative income stream for consumers via the government was deemed necessary to prevent economic collapse.
It was decided to recapture lost automated wages by two kinds of taxes:
Higher business taxes to recapture income that went to the owners of the automated businesses and a consumption tax to recapture income from low prices generated by products made by robots.
The revenues from these taxes were re-directed to unemployed and under-employed consumers.
The tax revenue simply recaptured wages from jobs that had been automated and this recaptured purchasing power was given back to unemployed consumers to keep a mass market alive and corporate profits stable.
Government revenues from these special taxes were segregated from revenues used to for normal government operating expenses. A firewall kept these two revenue streams apart.
These taxes stimulated consumer demand for automated products and services.
Income concentration destroyed mass markets and corporations began to understand this.
Once the government directed lost wage income back to needy consumers a set of incentives was needed so consumers spent this income in a responsible way.
Consumfare replaced welfare.
Consumfare provided unequal incomes, but equal opportunity for all consumers. Just like rewards and incentives existed for job holders, so also for people who got this free income for immediate consumption needed incentives.
NIB jobs replaced traditional jobs.
A National Board of Incentives, or NIB was set up by the government to adjust incentives for NIB people, just like the Fed adjusted interest rates.
People who decided to go back to school got a bigger NIB income, also people who participated in civic activities and who acted environmentally responsible by recycling and using green products and services.
The government understood that educated people created more economic and cultural value so they got more NIB money. Pursuing higher degrees and reading books wouild be rewarded. In fact any kind of information assimilation was rewarded. Citizen journalism on the state and local level was rewarded.
Who had authority over the NIB?
Perhaps the Fed or some other hybrid private/public entity like the Fed.
Many people would have two income streams. NIB money and part-time work from traditional kinds of jobs. Society would be a mixed income stream society.
NIB taxes replaced wages lost in a totally automated society.
It was understood by all eventually that without NIB there would be no purchasing power for businesses to thrive off and total economic collapse would occur.
The rich could not soak up the excess inventory of a mass economy. It was understood that an increasingly impoverished, dis-enfrancised, and unmotivated underclass could not soak up the excess inventory either.
Most agriculture and manufacturing had already been automated and service industries were going the same way.
It was also understood that a vital minority of entrepreneurs would continue to work as most people were destined to be buyers rather than sellers and producers.
The internet economy created niche markets that exploded with NIB consumers.
As automation accelerated and jobs vanished, Taxation became key to the future.
NIB and part-time work would be the norm.
Health insurance was also government sponsored and decoupled from work.
Automated and capital intensive businesses were taxed much more individual wages.
NIB would sustain consumer demand, but also allow more leisure time for family, exercise, civic and green activities.
NIB income was dominant over traditional wages.
A minority of NIB people did not work at all, the rest did part-time work to supplement NIB income and a minority of people recieved no NIB and worked all the time. The business creators and successful artists.
Soon NIB was extended to poor and developing countries and rural people were given huge ecological incentives to preserve resources and and protect the environment.
All understood that without consumption, there could be no production. No demand, no supply. Consumption was finally decoupled from individual participation in most forms of production.
It was understood that most jobs were not fulfilling to most people anyway.
People’s consumption history was their economic DNA.
GDP was replaced by GPI. ( Genuine Progress Indicator ) Which measured pollution, resource depletion, leisure time, and income distribution.
The trillion spent on arms was reduced because most consumers could not consume mass weapons.
NIB was aligned with maximum resource efficiency and zero waste.
Disposable products were made to be expensive.
There was more public transit and more green industries.
Automation experts, NIB experts, biologists, climatologists, and ecologists became more important than economists.
Green and NIB concerns became fused.
Left and right ideologies were replaced by systems economics
Aliens were not needed to save planet Earth.