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The only situation it works is in a totally idealistic situation in my head where it simply helps people see the correlation between work/community/education and self worth. Everyone comes out the side of it with a new lease of life.
I’m not suggesting for one second it would actually work, let alone be free from all sorts of pitfalls and crappiness.
aaaand just like the workhouse if you don't pay off your debt (to society) you never leave?