Leva: Why 'Lying Flat' May Be a Rational Choice in Economics?

Why 'Lying Flat' May Be a Rational Choice in Economics?

Lying flat is essentially tax resistance.

I am from Yunnan, so let's take Yunnan as an example for a simple calculation:

The lower limit of the social security contribution base in Yunnan for 2025 is 4,306 yuan, meaning that even if your salary is 3,000, as long as you pay the five insurances and one fund, it will be based on the 4,306 standard.

The employer contribution rate for pension insurance is 16%-20%, and the individual contribution rate is 8%; the employer contribution rate for medical insurance is 8%, and the individual contribution rate is 2%; the employer contribution rate for unemployment insurance is 2%, and the individual contribution rate is 1%; the employer contribution rate for work-related injury insurance is around 1%, and individuals do not contribute; the employer contribution rate for maternity insurance is around 1%, and individuals do not contribute.

Pension insurance is actually a tax, not a benefit. Among the five insurances and one fund, only the housing provident fund is a benefit for corporate employees; the others are all taxes. The cunning part is that the housing provident fund is paid based on 1,900.

Unemployment insurance, work-related injury insurance, and maternity insurance are essentially insurance.

There are also some invisible tax rates, such as government bond issuance for infrastructure. Only 10% of the money reaches the workers, but those debts must be borne by the entire population.

Those experts who advocate that internal debt is not debt only tell half the story; internal debt is not debt, but a tax.

The taxes mentioned above are a slow trickle, targeting those with little savings. Real estate, on the other hand, targets those with family savings. Land acquisition costs account for 60% of the total costs for enterprises in first-tier cities, 40% in second-tier, and 30% in third-tier.

Land acquisition income is directly transferred to local government revenue, which is also a tax.

China's real estate for over a decade has been a feast for local governments, real estate companies, property speculators, and engineering contractors, and a purgatory for mortgage slaves.

Some may say medical insurance is a benefit. This depends on the situation. For serious illnesses, it is indeed a benefit because the maximum reimbursement for hospitalization is 90%. For minor illnesses, it is a tax.

The reimbursement rate for minor illnesses is 60%, with an annual limit of 6,000 yuan. Anyone who has used medical insurance for minor illnesses knows that hospitals will prescribe a pile of traditional Chinese medicines. The effective ingredients in those traditional Chinese medicines are the same as Western medicines, but the price is three to four times higher. Because the reimbursement rate is high, the hospital receives more.

It must be said here that Traditional Chinese Medicine is a black hole that consumes medical insurance funds.

For young people, they generally do not suffer from serious illnesses. By the time 30-plus years pass and today's young people are 50-60 years old and start getting serious illnesses, it is estimated that serious illnesses will no longer be reimbursable, and it is an unknown whether medical insurance will even exist.

Therefore, against the backdrop of accelerating population aging accompanied by economic depression in the future, young people not working, not marrying or having children, and not buying houses—either becoming 'full-time children' if they have parents to rely on, or choosing flexible employment to earn cash without paying taxes—is the helpless choice of a rational economic person.