Questions about the Jade cube

[MunchkinMan]

You can't intentionally lose a level if you have no level to lose. In other words, you can't use the Jade Cube of Karma at Level 1.

This is no different than an Orc at Level 1 being unable to avoid Curses. Since it will come up: A Thief can steal at Level 1 because the cost of stealing is not a level, it is a card discarded from the hand or from in play. In the case of the Thief, the loss of a level is a potential outcome.