**Arguments in Favor of Implementing UBI:**

The implementation of a universal basic income (UBI) funded by a 5% tax on transactions made by automated systems and AI agents presents a forward-thinking solution to several pressing economic challenges. Firstly, it addresses the growing concern of job displacement caused by automation and AI. As these technologies increasingly replace human workers, particularly in industries with repetitive or low-skilled tasks, UBI ensures that everyone has a financial safety net, preventing widespread poverty and social unrest. Secondly, this policy promotes economic equality by redistributing wealth from the corporations and entities that benefit most from automation. This tax effectively targets the profits generated by AI systems, which are often concentrated among large companies, and reallocates them to support individuals. Finally, UBI simplifies the existing complex welfare systems by providing a universal, unconditional income, reducing bureaucracy and administrative costs associated with means-tested programs.

**Arguments Against Implementing UBI:**

Despite its theoretical appeal, the UBI proposal faces significant practical challenges that make it less viable as a policy. Firstly, imposing a 5% tax on AI and automated transactions could hinder innovation and economic growth. Many businesses, especially startups and smaller enterprises, rely on these technologies to operate efficiently. An additional tax burden might discourage investment in AI development and slow technological progress. Secondly, implementing such a tax would require a robust and highly sophisticated tracking system to monitor and collect taxes on all AI transactions, which could be complex, costly, and prone to evasion. Lastly, critics argue that UBI might not be an effective solution to poverty and inequality, as the amount provided may be insufficient to cover the basic needs of individuals in high-cost areas. Additionally, the long-term sustainability of funding UBI through this tax is uncertain, raising questions about whether it can consistently support all recipients over time.