Guy Standing will debate Lord Robert Skidelsky on Tuesday 1 February 2022 at 5pm GMT. This will be a public webinar sponsored by the Progressive Economy Forum that brings together a council of eminent economists and academics to develop a new macroeconomic program for the UK.
For details on the debaters and discussants and a link to register for the webinar, click here.
Could it be that the most fundamental thing to do to shift a worldview based on self-interest to where humanitarian concerns are equally important would be something like UBI where every civilized person on earth gets food, shelter, education, and health care to bring them up from poverty? Then, we would have a playing field everyone is in that can change everything instead of being stuck in the ever-widening split between the haves and have nots where there is so much energy just on survival that we are unable to change anything.
I agree, but even more than that we also need change in the humanitarian agencies themselves. Currently a universal basic income is not accepted by the charities commission as being a remedy or could have the purpose of alleviating poverty. Their argument is that it advantages too many people who are not poor. It is plagued by being too good and inclusive. Currently the universal entitlement trust application has been forwarded from the commission to an independent board to either, accept their findings or agree that a UBI is charitable. They have the power to overturn this – which I think sets a precedent in law. Any assistance, or letters of support – would be greatly appreciated.
According to Modern Monetary Theory governments that issue their own currencies can print all the money they want to, to fund basic income and job guarantees. However, inflation becomes a problem with both of these programs. The job guarantee causes inflation in two ways; first, by putting more money into people’s pockets, and, second, by forcing private sector companies to raise their minimum wage and benefits package to meet the federal job guarantee standard. If they don’t, they’ll lose their lower-paid workers. This makes things cost more. The guaranteed income causes inflation only in the first way, by putting more money into people’s pockets. This type of inflation is usually solved over time as firms produce more product to meet the increased demand. So, institute a job guarantee first, and use a universal income supplement, say $6,000/person, to offset the inflation for those who don’t take the job guarantee jobs, but phase in the universal income payment over two or three years, to give the markets a chance to increase supply an mitigated the inflationary impact of all that money hitting the economy at once.
If we funded the UBI from a VAT increase, with the large cost increase being covered by a higher UBI payment, gives the advantage that the price shock would somewhat subdue inflation. A comparative microsimulation of this showed that this advantaged the highest percentage of people and all of the poor.
Neither of the proposals will solve the problem of the current world order, wich main feature is one-dimensionality. Fighting over one instead of finding the right proportion among the two, is the wrong way. Even more, both concepts are built one-dimensionally according to the white men’s preferences (WHASP), for their pleasure and reign. Therefore firstly, both concepts have to be redefined according to the other values system (it should include women’s values systems as equal). Only after that search for the right mixture of both would be in order. This search should be more inclusive and democratic on that level of conceptualization as well. It should be more open to differences in society. The process should include academics, activists, and politicians of different disciplines, sexes and, ages, some non-anglo-Saxon, to truly serve as all in the best possible way.
Sorry to see you introducing race into the discussion. Martin Luther King Jr. was an advocate for jobs guarantees and a mild supporter of UBI. Race has nothing to do with evaluating the economic benefits and feasibility of the proposed solutions to poverty.
I see UBI as the PayTerm of every government to fulfill the obligation of every single state to secure its citizens, every one of them, a decent livelihood and access and ability to participate in societal affairs building a society where everybody’s input counts. Education and Basic Income form the Basic foundation to build a civil society. For people to fulfill their obligation to participate in creating and maintaining a civil society their elected government’s first financial priority has to be to secure Basic Income which amount will have to be measured to the cost of the above-mentioned factors, calculated by a professional team. (None political, elected by the people) The amount will be linked to the inflation rate at all times. UBI will be the PayTerm for the government to fulfill its obligation. UBI is the strongest proof of how a circular economy will keep the wheels of ever-developing, prosperous, communities going