**Arguments in favor:** First, as automation and AI increasingly displace human workers across industries, UBI funded by automated transactions creates a direct economic feedback loop that compensates those whose livelihoods are disrupted by technological advancement. This ensures that the productivity gains from automation benefit all citizens rather than concentrating wealth among technology owners. Second, taxing automated transactions is practically feasible and fair since these systems utilize public infrastructure, legal frameworks, and educated workforces that society collectively funded, making it reasonable to require them to contribute back to social welfare. Third, UBI would provide economic security that enables people to retrain for new careers, start businesses, or engage in creative and community work that markets undervalue but society needs, while the transaction tax would generate substantial revenue as automation expands without directly burdening human workers or traditional businesses.

**Arguments against:** First, a 5% tax on all automated transactions would significantly increase operational costs for businesses using AI and automation, potentially stifling innovation, driving companies to relocate to countries without such taxes, and paradoxically slowing the technological progress that creates economic growth and improved living standards. Second, defining and tracking "automated transactions" presents enormous technical and legal challenges that could result in inconsistent enforcement, create loopholes for tax avoidance, and require an expensive bureaucratic apparatus that diminishes the policy's net benefits. Third, UBI might reduce work incentives and labor force participation, leading to economic stagnation and social deterioration, while the transaction tax would ultimately be passed on to consumers through higher prices, disproportionately harming low-income individuals who spend a larger percentage of their income on goods and services.