Is Taiwan ready for a basic income referendum?

Is Taiwan ready for a basic income referendum?

Taiwan has seen its first series of referendums since the significant liberalization of its referendum law early this year. The results could have implications for the basic income movement in Taiwan and possibly the Asia Pacific.

There has been discussion among Taiwan’s basic income activists to organize Asia’s first basic income referendum on the island.

In January, the new referendum law came into effect in Taiwan, lowering the threshold for the number of signatures required to get a referendum on the ballot. The law also decreased the voting participation requirement from 50 percent to 25 percent.

Such a change made it realistic for a basic income referendum to make it to the ballot in Taiwan.

During the election last weekend, seven of the ten referendums were passed, the first such national referendums to pass in Taiwan’s history. Long lines waited for hours to vote, as many carefully studied the referendum language.

Most notably, opponents of gay marriage successfully passed three anti-LGBT referendums (two pro-LGBT referendums failed to pass), putting Taiwan’s legislature in a precarious position since its top court mandated that same-sex marriage must be legally recognized by May 2019.

How the referendum results will affect legislative action is unclear, since there is no precedent for legislating referendum results in Taiwan. Additionally, the referendum law does not create clear enforcement mechanisms to compel the legislature to act (except in the case of abolishing laws, which must take place within three days of the referendum result).

Regardless of how legally binding the results actually are, Taiwan’s legislature will feel pressure from the popular results to follow the principles of the referendums.

If Taiwan’s government fails to put the referendum results into law, it could have a chilling effect on future referendum movements and create questions about Taiwan’s democracy. There have already been signals from Taiwan’s presidential office that approved referendums regarding nuclear and coal will not lead to a change in energy strategy.

On the other hand, a robust response from the legislature will mobilize activists to utilize referendums as a key legislative strategy. It is likely that 2020 will see a wave of even more referendums than this year.

If some an income guarantee referendum were to pass, Taiwan’s government would only be compelled to submit a proposal and discuss the policy. There would have to be a significant societal mandate from the referendum to ensure the legislature will act to pass a law.

Polling from Academia Sinica and UBI Taiwan find 40 percent to 47 percent respectively of Taiwanese support basic income. As was seen with the competing gay rights referendums, using referendum as a vehicle to advance basic income can also mobilize opposition groups.

The LGBT referendums invited a wave of international attention. Certainly, a basic income referendum would attract regional and international attention as well.

However, a premature basic income referendum without institutional support and lacking a broad activist movement to defend the idea poses substantial risks. Basic income is still a new idea in Taiwan and Asia in general, and misunderstandings could derail the idea before it has an opportunity to develop in the region.

Anti-LGBT groups outspent the pro-LGBT movement and used misinformation and scare tactics to successfully persuade a large portion of Taiwan that LGBT marriage threatened the next generation of families. 

It is without question that a basic income referendum would invite backlash from invested groups, who would probably have more financial resources than the nascent basic income movement in Taiwan.

Would an overwhelming vote in opposition to basic income do more harm than good for the movement in Taiwan and the Asia Pacific?

Certainly, Switzerland’s referendum was incredibly successful in propeling discussion of the idea around the world, even though it failed at the ballot box. However, both civic society and basic income activism are far more mature in Europe than in Taiwan.

A rejected basic income referendum in Taiwan could be portrayed as yet another global failure for UBI, along with the cancelled experiment in Canada, the ending of the Finland pilot, and even the rejection of the original Swiss referendum.

If I had to wager, I would bet that the societal discussion over basic income generated from a Taiwanese referendum will be overall helpful to advancing the movement in the Asia Pacific even if it does fail. This is especially true since backlash from opposition groups is inevitable anyway.

It is essential, though, that the basic income movement in Taiwan and beyond carefully consider its strategy to make UBI a reality.

Che Wagner, “The Swiss Universal Basic Income Vote 2016: What’s Next?”

Che Wagner, “The Swiss Universal Basic Income Vote 2016: What’s Next?”

The following is an abstract from Che Wagner, the co-director of the Swiss Campaign for Basic Income, for his Medium article “The Swiss Universal Basic Income Vote 2016: What’s Next?

On June 5, 2016 all Swiss citizens were asked if they would like to amend their federal constitution with a Universal Basic Income (UBI). The proposal was declined, but the campaign not only prepared us for future discussions on social welfare in Switzerland, it also gave us the key insights for how we can talk about the future of work and income in general.

In analyzing the voting results along with representative surveys asking voters why they voted for/against UBI, we learn about how much it matters how we speak about UBI and in what context of contemporary society. Additionally, with those reflections we are able to detect some patterns of “key groups” who might play a major role in pushing the framework of UBI further.

Lastly, the question remains: What’s next? In the case of Switzerland, there were strong indications that most voters want the debate about UBI to continue, even if they voted against the proposal. One way to continue would be to set up trials or experiments on local levels and survey’s show a high approval rate for that. Lately, there had been a series of meetings and discussions about setting up experiments in various places in Switzerland. But there still remains the question: what would be a set-up that would make sense – both on a political agenda and a international scientific agenda. It will be most crucial to discuss premise and purpose before the set-up is done. For the UBI debate is certainly a global phenomenon and will leave marks on both sides of the Atlantic.

For the full article:

Che Wagner, “The Swiss Universal Basic Income Vote 2016: What’s Next?“, Medium, Feb. 8, 2017.

Referendum and basic income: Parallels with Brexit

Referendum and basic income: Parallels with Brexit

There was an uncanny similarity between two referenda held in June: the UK’s referendum on whether to remain in the European Union, and the Swiss referendum on a Citizen’s Income. In each case, the ballot paper asked a simple question: whether to remain or leave, and whether to establish a Citizen’s or Basic Income – an unconditional income for every Swiss citizen. In the latter case, the wording was explicit that the Swiss federal government was to decide on the level of the Basic Income and on the means of funding it.

And then in both cases the campaigns leading up to the referenda were less about the referenda questions than about very different issues.

In the Swiss case this was largely the fault of the proposers of the referendum question. The wording having carefully left the decision as to the level of the Citizen’s Income to the Swiss government, the campaigners then suggested a level of 2,500 Swiss francs per month – about £400 per week. It was largely this that led to so many members of the Swiss parliament asking people to vote against the proposal; it was the proposed figure that dominated the campaign; and it was the fear of the massive tax increase that would have been needed to fund such a large Citizen’s Income that led to so many people voting against the proposal. All of this could have been avoided quite easily. If the campaigners had wanted to inform the debate about potential levels of Citizen’s Income and possible funding methods then they could have undertaken the kind of careful costing work that we and others have undertaken in the UK. If that had happened, then the government could have made clear the level of Citizen’s Income that they would be likely to agree on if the referendum were to pass, and the debate and the decision might have been rather more rational.

Having said that, the referendum was in many ways a success. The referendum was held; it contributed significantly to media and public interest in Citizen’s Income, both in Switzerland and around the world; and 23% of the Swiss population approved of the idea. The referendum will be seen as an important stage in the Swiss and global Citizen’s Income debates.

In the British case there was always going to be a problem. Public understanding of the European Union is almost non-existent, so the only information that most people had available to them were the halftruths that campaigners on both sides and the press chose to feed to them. Members of the public were told that we could avoid EU workers having the right to live and work in the UK and trade within the single market, even though the European Commission had made it clear that remaining within the single market was conditional upon allowing EU workers to live and work in the UK. Throughout the campaign, leaving the EU was touted as a way of preventing immigration, whereas most immigration is from outside the EU and was therefore nothing to do with the question on the ballot paper.

There are two lessons to draw from these two referenda. One is that referenda are a bad idea in the context of an ill-informed public and a biassed media. The question on the ballot paper might be a simple one, but if it is about a complex reality then even generally well-informed members of the public might have little understanding of the possible consequences of a referendum result – whatever that result might be. In relation to complex issues about which members of the public understand little, representative democracy is the least bad system of government, and it is safer than referenda. It enables proposals informed by a civil service to be debated in a parliament and in committee, to be amended, to be tested in another parliament, and then amended again. Such a method has to be preferable to a one-shot referendum ill-informed by emotive campaigns. This is not to suggest that referenda are never appropriate. If the public is well informed about the issue on the ballot paper, if campaigns are based on evidence, if experts are heard, and if the print and other media see it as their role to educate rather than to persuade, then a referendum has some chance of assessing an informed population’s view on the question on the ballot paper. The 2014 referendum on Scottish independence came closer to this ideal referendum than either the Swiss Basic Income referendum or the recent British referendum on EU membership; and the Swiss Basic Income referendum came closer to it than the British referendum on EU membership. It would take a massive educational effort to enable the UK’s population to gain a sufficient understanding of the desirability and feasibility of a Citizen’s Income to enable it to compare a benefits system based on a Citizen’s Income with the current system. Whether such an educational effort is possible, or such an outcome feasible, must be in doubt: in which case the safer method will be for the institutions of representative democracy – Parliament and the Government – to evaluate the arguments for a Citizen’s Income and to decide in accordance with their findings.

The second lesson to draw is that careful research is essential if any future debate about Citizen’s Income is to be sufficiently well informed. It has been a pleasure to see recent well researched reports from the Royal Society of Arts, the Adam Smith Institute, and Compass, and up to date costings and other statistics relating to a particular illustrative Citizen’s Income scheme have recently been published by the Institute of Social and Economic Research at the University of Essex. We hope soon to be able to publish costings and other information relating to a couple more illustrative schemes, and we also hope to have available soon some information on how a range of typical households’ net incomes would be affected by some illustrative schemes. We would like to see even more research organisations involved in the rigorous testing of the financial feasibilities and consequences of illustrative schemes.

There is a connection between the Swiss and British referenda: EUROMOD, the microsimulation programme that we use to evaluate illustrative Citizen’s Income schemes. The programme’s development is funded by the European Union. We are very much hoping that the UK will continue to be involved in the European collaboration that makes such a useful piece of research infrastructure possible.

Another connection is the one between Citizen’s Income and important factors in the British European Union referendum. Widening inequality and deep social divisions appear to have been important motivations for voting to leave the EU, even though leaving the EU is unlikely to remedy the situation and might even make it worse. A Citizen’s Income would help to reduce inequality and to heal social division. It is therefore essential that widespread informed debate on Citizen’s Income should take place, and that the institutions of representative democracy should decide to implement a Citizen’s Income: perhaps informed by an advisory referendum.