This idea works very well, as long as it is applied to a tiny group of people who know each other well (one family). With larger groups it doesn't work at all because of game theory. The people who work hard to build better "means of production" or use them more effectively, as a reward get all of their work seized by people who do not want or know how to use these "means of production". As a result the production goes down and the quality of life of the people goes down too. If you allow people to leave your country the best workers leave it, dragging the quality of live of the remaining people too, if you want to not allow that you have to build a police state, and the quality of life becomes even worse. This is a simple theory, which have been tested multiple times, and sadly in my country too, and i hope the next time this idea gets tested it is tested on people who wilfully join the test and have the ability to leave it.