Free Money for Everyone! A Liberal and Conservative Dream: Part 1

This is going to be a multi-part series on a concept that will be able to eliminate our federal deficit, simplify the tax code, appeal to both conservatives and liberals, eliminate the entirety of the welfare system, and create a humane society.

Let me guess? You're a bit skeptical? I know I was, until I read more about the FreeMoneyForAll.org website. The site is ran by Dr. Carl Milsted, a self ascribed "Dr. Evil", and a Libertarian of 25 years.
His proposed system is based on the idea of tax "pre-bates". And, the pre-bate is based on the wealth of the nation. He admittedly doesn't have an amount for the pre-bate, but most things are pretty clear. There are few restrictions to who gets a pre-bate: Any citizen who filed a tax return.  This same system is discussed in the book "In Our Hands : A Plan To Replace The Welfare State " by Charles Murray.

So, let's just assume (For this series) that the pre-bate is in the amount of $1500 per month. I believe this is the top end for what you can get in welfare benefits each month. By sending each citizen a monthly check in the amount of $1500, we can in one fell swoop, eliminate the welfare system.
Will we still need to keep around the Medicare/Medicaid system? Maybe.

The first question is,"Well, how do we pay for handing everyone a monthly check?" That right there is the "devious" part of it. We can eliminate the following programs by doing this:

• Welfare - Without the overhead of people applying for, and being evaluated based on need, we eliminate the entire welfare system, and we do no harm to it.
• Tax loopholes and Subsidies - Since we are already handing a monthly check of $1500 to every citizen, we can also eliminate every tax loophole and subsidy.
• Social security - As with welfare, this will replace it, and usually increase benefits by quite a bit
• Tax System - Since we are already creating a bottom floor, we can now implement a flat tax system of something in the neighborhood of 30%.
• Eliminate the SS and FICA taxes - We can do this, since SS is being eliminated, and FICA, well, we can pay for it with the increased tax rate.

So, liberals win on this, since the beneficiaries of the welfare and social security system are not harmed, and somewhat improved. Tax loopholes for wealthy citizens are gone.

Conservatives should be happy, and consider it a win because we now have smaller government. No inspections of your tax return to check every loop hole. No more special consideration. Flat tax is now in place. This is a huge win for conservatives!

It's a win for everyone, because now we can reasonably balance our budget, without unduly shifting the burden to anyone, wealthy or poor.

Next up: How much money exactly?