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If UBI just covered the most basic needs, most people would still want to work in order to buy things and have experiences that are not strictly necessary. If people weren't worried about having food, shelter, and healthcare it would open up the possibilities to do work that is more aligned with their values. For some people that's still going to be making as much money so they can have a higher quality of life than substenance. For some it's going to be something they love or are good at that they don't do now because it doesn't pay enough to cover basic needs. For some it's going to be something with a flexible schedule so they can spend time with their families. And yes, some people wouldn't work at all.
This is not to say that it wouldn't change a lot about our current systems. Things would change, in some industries more than others. But I don't think it would cause a mass of the population to choose a life of sloth.
So basically, i can keep working 50 hours a week and be twice as wealthy as I am now, since fewer people will work, and other people can quit their jobs but at least be allowed to live in a 1 bedroom apartment and not starve? Im fine with that.
It wont work like that though. It will screw over the middle class.