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Now, ignoring the tax issue--if everyone could do whatever they wanted for the same amount of money--would most people choose to do something "productive" (i.e. something considered of value to society, be it art, medicine, engineering, or collecting garbage) rather than just sit around?

Another Alternative: Everyone would do what they wanted, but do a crappy job of it. After all, they painter who goes the extra mile to mask off the window trim just so doesn't get any more than the one who slaps up the paint. Plus, if he does a bad enough job, people won't call him back, but he won't go hungry, unhoused or unclothed if he just stays home.
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