The Future of Abundance: Self-Owning Machines Can Generate a Basic Income

The Future of Abundance: Self-Owning Machines Can Generate a Basic Income

Picture: Deep Dog at the Beach by Botgirl Questi, 2014, CC-BY-NC 2.0

 

On June 6th 2018, Trent McConaghy, founder of Ocean Protocol and BigchainDB states in his article “Nature 2.0, The Cradle of Civilization Gets an Upgrade”, that a combination of Artificial Intelligence (AI) and Blockchain can result in a future of abundance. Profits from self-owning machines can pay for a Universal Basic Income (UBI), according to this expert in the field of automation.

 

A Blockchain is a database with new characteristics compared to traditional databases, as McConaghy explains:

  • “It’s decentralized — no single entity owns or controls it. There’s no single point of failure
  • It’s immutable — once you’ve written into it, it’s there for good. (unless intentionally changed)
  • And it has assets – you own something if you have the private key. “

 

Furthermore, Blockchains can not only be used for data storage, but also for processing data and communications. Blockchains, like Bitcoin, can be seen as information-centric Public Utility Networks (PUNs), states McConaghy, and “as “trust machines” these minimize the human trust (in banks) needed to operate. In doing so, these allow ever larger organizations of people to interact without trust issues arising. McConaghy says that the most important characteristic of blockchains is “incentives”. According to him, “a person can design a network that gets people to do stuff, by rewarding them with tokens.”

 

Then he takes us a step further and explains that Blockchains can also be designed as a Decentralized Autonomous Organization (DAO), which is a computational process which runs autonomously on a decentralized infrastructure. McConaghy explains: “A DAO is autonomous code that can own stuff.”

 

Trent also refers that AI and DAO combined can generate value by making and selling art, using Genetic Programming (GP) (as in this example), or Deep Dreams (a twist of Neural Networks). It can be achieved when a computer program ‘orders’ an artwork to be generated, sells it on a digital marketplace for crypto currencies and repeats the process (generating a new artwork). Over time, it accumulates wealth, without any human controlling it, while evolving with its own GP coding.

 

“This is possible with today’s technology” and AI-DAO’s can get rights using today’s law, McConaghy states. The impact of the combination of AI and DAO is huge because it combines database resources with autonomous decision-making. Making and selling art is only one example, but self-ownership can be done with self-driving cars and even roads, windfarms and energy grids, according to McConaghy. He concludes by stating:

 

“Many dream of Universal Basic Income (UBI), because it can address worries about job loss in the face of AI, and help more people to chase their dreams and self-actualize. Blockchains make the distribution side straightforward. Anyone that provides some proof of being human (even if imperfect) gets an equal amount of income arriving to the UBI chain. The challenge is how to pay for it. Nature 2.0 gives a solution to this! In short: profits from self-owning machines pay into the UBI chain.”

 

More information at:

Trent McConaghy, “Nature 2.0: The Cradle of Civilization Gets an Upgrade”, Medium, June 6th 2018

 

Special thanks to André Coelho for reviewing this article.

Italy: There is no basic income being proposed in Italy

Italy: There is no basic income being proposed in Italy

Since the new government led by Movimento 5 Stelle (M5S) and Lega (the Italian extreme right-wing party) was formed, the proposal of a so-called “citizen income” in Italy has had much echo. First proposals go back to 2013, having been reported at the time.

This proposal is among the first programmatic points of the M5S and has been included in the “government contract“, among the goals to be achieved in this legislature. It has reverberated widely, and some confusion has been established. It has been suggested that basic income is in the pipe for Italy’s social policy, an idea inflated by some media reports. To that also contributed the reporting on the Livorno case, a small coastal town in Italy, in which a conditional to work type of basic income experiment has been conducted, having even been listed among the basic income experiments in the world at this time (year 2016).

To be clear, the M5S, even conceding the use of the term “citizen’s income” (a term coined in the 90s, by social movements and precarious workers, signifying “basic income”), is proposing a targeted to the poor minimum income scheme, conditional to work. This kind of policy has already been adopted, for many years, in the majority of European countries. The fact is that Italy is still one of the few European countries which doesn’t have experience with social support for those living below the poverty line. Moreover, European institutions have been asking for the introduction of at least economic support for the poor in Italy, which is one of the countries with the highest poverty rates in Europe.

The only social support for the poor up to this moment, in Italy, was introduced by the previous Gentiloni government, which has introduced a “minimum income for inclusion” intended for poor families. This support, however, is very conditional, and includes obligations for the whole family to accept any proposed work and a benefit that averages 130 € per month per person. In addition, only € 1.8 billion have been assigned to fund this social benefit, which covers only a small fraction of the families in need of assistance. The M5S proposal is similar, only the value is increased to around to 780 € per month per person.

The 5 Star Movement has developed, however, the hability to bring forth, in the Italian political debate, a theme that in many other European countries has already been settled with income support for the unemployed or the poor.

Social support in the shape of minimum income has suffered funding cuts across Europe, given the austerity measures of the past few years, with the introduction of severe restrictions which reduce accessibility and introduce more work conditions. The Hartz IV reforms in Germany and the Universal Credit in the United Kingdom are examples of this. Neverthleless, this is the kind of social support the 5 Star Movement is putting forth at the moment, with the “citizen’s income” proposal.

Luigi Di Maio (Photo credit: Andreas Solaro/AFP/Getty Images)

Luigi Di Maio, the current vice-prime minister and minister of labour, is quick to clarify what he means by “citizen’s income”: “those receiving this income will not stay on the couch doing nothing, but will be called on to accept any kind of work, and will be forced to work for the State for at least eight hours per week in the meanwhile”. This adds to a very common mindset of conditional support, based on the belief that people will remain inactive if they are given that chance. A belief grounded on a firm reciprocity work ethic (workfare), particularly remote from the idea of basic income.

The proposal, which provides an arguable light condition to work (a possibility to refuse work if it doesn’t align with the minimum income recipient expectations), has never been discussed in Parliament, even though it was brought into parliamentary committees.

The Movement of which Luigi Di Maio is a part of has made a legislative proposal for this conditional minimum income, but the actual parliamentary debate has not yet started. Part of this proposal is the financing of the policy with a quick-start of 2 billion € in two years, to setup a system of employment certers for ensuring that receipients are controlled in their way to find employment. Simultaneously, a proposal of an income Flat Tax of 15% has also been made, which has been associated with tax cuts, given the present day tax landscape in Italy.

However, there have been other proposals already delivered for Parliamentary discussion, such as the popular bill for the introduction of a guaranteed minimum income, presented in 2013. This bill was backed by over 170 associations, after a six-month social campaign, 250 public initiatives and more than 50 000 signatures collected.

There is no doubt that all this political activity has awakened the debate about guaranteed income, or a right to an income, and also about unconditional basic income. In fact, a series of political campaigns have begun in Italy, particularly thanks to movements of precarious workers, who demand a “guaranteed income immediately” and who took the streets with demonstrations in front of the institutional offices. They lined up in front of job centers, asking for a guaranteed income to be given to them “now”. Citizens movements concerning the right to proper housing and several labour unions, have also demonstrated their request for a guaranteed basic income in several events, while other groups such as the femininst movement “non una di meno” propose ideas such as the self-determination income, which is similar to an unconditional basic income.

 

More information at:

Sabrina Del Pico, “Italy: 5 Star Movement and the confusing proposal of a citizen’s income“, Basic Income News, March 14th 2013

Brian Wang, “Italian government talks 780 € per month basic income and tax cuts dispite Greece like debt levels“, Next Big Future, June 2nd 2018

Andrew Kaplan, “Italy: Basic Income Pilot launched in Italian coastal city“, Basic Income News, December 28th 2016

Chris Weller, “8 basic income experiments to watch out for in 2017“, Business Insider, January 24th 2017

Chris Pleasance, “Italy will soon have a flat 15 per cent tax rate and universal income scheme if president agrees coalition deal between anti-establishment and far-right parties“, MailOnline, May 18th 2018

Sandro Gobetti, “The bitter Italian situation: no basic income and false protection for the poor“, Basic Income News, April 24th 2017

[in Italian]

Chiara Brusini, “Reddito di cittadinanza? Prima 50mila assunti. Centri per l’impiego senza risorse e banche dati [Citizens income? Only for the first 50 000 hired. Employment centers with resources or databases]“, Il Fatto Quotidiano, March 27th 2018

Basic Income Network Italy, “50mila firme per proposta di legge sul reddito minimo garantito [50 thousand signatures for a proposed law on guaranteed minimum income]“, February 28th 2018

Sandro Gobetti, “Roma 5 giugno: in assemblea per un reddito subito! [Rome, June 5th: assembly for an income immediately!]“, Basic Income Network Italy, June 4th 2018

 

Article reviewed by André Coelho

Possible New Minimum Income Experiement in Manitoba

Possible New Minimum Income Experiement in Manitoba

Manitoba, the Canadian province which was the location of one of the most well-known basic income experiments of the last century, may be re-examining the possibility of instituting a basic income guarantee (BIG) following a recommendation from the Winnipeg Chamber of Commerce.

The Winnipeg Chamber, which describes itself as “Winnipeg’s largest business association”, recently contributed to the local Manitoban government’s consultation on poverty reduction strategies. Among the suggestions made by the Chamber was a further study into the viability of what is called minimum income, mincome, or a basic income guarantee.

A mincome differs from BIEN’s own definition of basic income due to being means-tested, and tapered off for higher income groups. However, it also differs from more traditional benefits systems for several reasons: it is not targeted at specific groups such as parents or those with disabilities; there are no requirements to spend it in certain ways; and it is guaranteed to all those below a defined income level. Some regard mincome as a stepping-stone to universal basic income (UBI), while others see it as an end in itself.

A policy paper released by the Winnipeg Chamber stated: “Minimum income supports the concept that all work has value, including non-paid work. Examples of non-paid work would be volunteering in the community or working in the home supporting family members. People have been taking on those roles without pay and some may think their work doesn’t have or create any value. Yet without those volunteers and homemakers, our society would suffer greatly. Earning an income increases an individual’s feeling of personal worth and value, which is invaluable.”

In 1973, one of the most well-known experiments on basic income took place in Manitoba, in a number of areas including the town of Dauphin. All residents of the town were provided with regular income, free of conditions, for a period of several years, and analysis of the data collected has shown that a number of positive effects resulted from this, ranging from improved school results for children to a reduction in several mental illness.

International: Study to evaluate impact of cash transfers in Liberia

International: Study to evaluate impact of cash transfers in Liberia

The Innovations for Poverty Action (IPA) group, based in New York, is preparing a large-scale cash transfer study in Liberia, particularly focusing on rural farming households. Cash transfers will be delivered by GiveDirectly, and also coordinated with USAID, to be rolled out for at least two years. GiveDirectly has been responsible for other large scale unconditional cash transfer programs, namely in Kenya, and is applying the randomized controlled trial method to the Liberian study as well.

 

There have been other cash transfer programs in Liberia, such as the Cash for Work on Vulnerable Youth in Liberia, but “no positive psychosocial or economic impacts were observed”. This program, due to its conditionality, “was found to be undesirable and faced implementation challenges”. It was also managed by Innovations for Poverty Action, now innovating by participating in a basic income-style cash transfer study.

 

IPA and GiveDirectly are, therefore, recruiting senior researchers, program managers and office administrators. To this end, J-PAL – Abdul Latif Jameel Poverty Action Lab – is also helping with providing ways to draw top human resources to this task. Already onboard are principle investigators Jon Robinson (University of California, Santa Cruz), Jenny Aker (Tufts University), Alan Spearot (University of California, Santa Cruz) and Shilpa Agarwal (India School of Business).

 

More information at:

Kate McFarland, “US/Kenya: GiveDirectly launches UBI experiment”, Basic Income News, November 17th, 2017

UK: Call for Papers announced for Cambridge conference on intellectual history of basic income

UK: Call for Papers announced for Cambridge conference on intellectual history of basic income

“An Intellectual History of Basic Income”

University of Cambridge – January 14, 2019

A team of three University of Cambridge scholars have released a Call for Papers (CFP) for a conference on the history of the idea of basic income, to be held at the university on January 14, 2019.

Basic Income Earth Network (BIEN) co-founder Philippe van Parijs is scheduled speak at the closing event. Other invited speakers are to be confirmed.

The conference, titled “An Intellectual History of Basic Income,” is being organized by Daniel Zamora (Department of Sociology), Peter Sloman (Department of Politics and International Studies), and Pedro Ramos Pinto (Faculty of History). Zamora is currently co-authoring a book (with Cambridge PhD candidate Anton Jäger) on the intellectual history of basic income with a focus on the US and continental Europe. Sloman is meanwhile writing a book on the history of the concept in the UK, and recently published an article in the Journal of Social Policy on the idea in the last century of British politics.

As described in the CFP, the interdisciplinary conference will investigate the “story of how the basic income proposal has achieved global prominence,” with a specific focus on “the contemporary history of basic income from the 1960s to the present,” including “how UBI proposals have been developed and received in different ideological and political contexts, and the ways in which the concept has been shaped by changing attitudes to welfare provision, income inequality, and the future of work.” It will also explore “how an idea that emerged as a response to a specific situation in industrialized countries in the 1960s and 70s has become an important tool for rethinking development policy in the global South,” alongside broader themes related to changing conceptions of global poverty.

The organizers invite abstracts for papers on the above themes (to be submitted by September 1, 2018). Selected authors will be invited to develop their conference papers into full chapters for an edited volume to be published with an academic press.  

For more details, including submission guidelines, see: https://inequalityandhistory.blogspot.com/2018/05/call-for-papers-intellectual-history-of.html.


Reviewed by Patrick Hoare.

Photo: Founding meeting of BIEN.

Editor’s note: An earlier version of this article stated incorrectly that Zamora, Sloman, and Jäger are coauthoring a single book; this has been corrected.

SPAIN: Documentary about Basic Income opens in Madrid

SPAIN: Documentary about Basic Income opens in Madrid

A new documentary about Basic Income, RBUI, nuestro derecho a vivir, in english UBI, our right to live, had its debut in Madrid, on May 12th in the Auditorium of the Cultural Center “Pozo del Tío Raimundo” during the Foro Humanista Europeo 2018. The documentary was directed by Álvaro Orús and produced by Pressenza and the group Humanistas por la Renta Básica Universal. The documentary includes a series of interviews done during the 17th BIEN Congress, featuring long time Basic Income supporters like Guy Standing and Philippe Van Parijs, and many others like BIEN’s Chair Louise Haagh, Ping Xu, Cosima Kern, Scott Santens, Sara Bizarro, Lluis Torrens, Rena Massuyama, Daniel Raventós, Julen Bollain, Elizabeth Rhodes, Mayte Quintanilla and Sonja Scherndl.

 

From the top down, and left to right: Philippe Van Parijs, Rena Massuyama, Scott Santens, Elizabeth Rhodes, Ping Xu, Guy Standing, Louise Haagh, Julen Bollain, Daniel Raventós, Cosima Kern, Lluis Torrens, Sara Bizarro

The documentary talks about UBI as a human right and about Basic Income as an ideal that has been gaining public support in the last few years, especially since automation threatens to leave a large part of the population without employment. The interviews feature academics and activists who share their experience and their Basic Income initiatives all around the world. The director,  Álvaro Orús, said in an interview: “At the world congress there was a new sensitivity, the impression that it was the beginning of a new world”, and the documentary captures this spirit. The documentary will also be shown at the 18th BIEN Congress in Finland.

You can view a trailer of the documentary here.

 

More information at:

Sara Bizarro, “The 17th Bien Congress”, Basic Income News, October 5th 2017