Karl Widerquist: “Universal Basic Income Is a Good Deal for People Who Like Capitalism”

Karl Widerquist: “Universal Basic Income Is a Good Deal for People Who Like Capitalism”

Karl Widerquist, vice-chair (at the time of the interview he still was co-chair) of the Basic Income Earth Network (BIEN) was interviewed extensively by Keith Brown from the “We Are Here Podcast” on April 28th. During the interview, Widerquist explains Universal Basic Income (UBI) creates a market economy where income doesn’t start at zero and where people have a positive, rather than a negative, incentive to work.

“Employers currently have an incentive to pay very low wages because income starts at zero. You can work fulltime a whole year and still live in poverty.” In almost every country, there are conditional systems for people who do not work. Widerquist argues that these systems supervise recipients and create high overhead costs. “If you can show you can’t work or can’t find a job, then you are eligible for something. If not, you will get nothing. This means people have a negative incentive to work and will accept jobs with very low wages to prevent them from falling into [extreme] poverty.”

UBI is going to help people that are afraid of becoming poor when they lose their job for whatever reason. According to Widerquist, “UBI can free people from that anxiety.” Widerquist explains UBI is not just for the poor, but also for the middle class. It gives people a choice to leave their dead-end jobs and do something else they really want to do. If you are struggling to meet your basic needs, you will be miserable. If you have UBI that meets your basic needs, you will not be in misery. We will get a situation where money no longer buys happiness. Freedom is the power to say no.

UBI can also be seen as compensation to people for the duties that have been imposed on them, according to Widerquist. For instance, a plumbing system is created because the water is polluted, and people have to pay for it, even if they are not the ones that polluted the water. They don’t have a choice. He gives an example of how this can be compensated: The state took the land from the natives (Inuit) in Alaska to let companies drill the oil from it. These companies pay the government and a small part of it is given ‘back’ to the citizens (Alaska’s “Permanent Fund Dividend”).

There are many variations on what people think UBI should look like around the world. Most people agree that it has to be at least enough to meet your basic needs (food, shelter, clothing and enough to live on is the minimum). The maximum is the highest sustainable income possible. Widerquist’s personal view is that “you should be compensated at the highest sustainable level, as it is a compensation for non-equal duties that the government is opposing on us.”

Starting at $12,000 in the US a year would be okay, in hopes of building up to $20,000 or more if it proves to be workable. But starting off at a higher level than $20,000 without building up to it gradually would be risky.

According to Widerquist. “The government is already spending over 2 trillion dollars a year to maintain people’s income and we still have 13.5% of the population living in poverty. So the current system is not working and extremely expensive”.

Widerquist does not believe that UBI requires cuts in other programs, but he gives some examples of government spending that can be replaced by it, including foodstamps and most unemployment benefits.

“It is feasible; the only thing we need is the will to do it. It has not been attempted before on a large scale, but there is a first time for everything”.

On the topic of the “Alaska permanent fund dividend”, which started in 1982, Widerquist argues, “In Alaska they have a very small basic income of one thousand US dollars a year for every resident (man, woman, and child) and even that very small amount has made Alaska one of the most equal states with very low poverty rates. It has been going strong for 35 years now. It makes a huge difference when you realise that a single mother with four kids will get 5000 US dollars a year. In a good year even 10000 US dollars a year.”

UBI can be popular across the political spectrum once it is in place, because the benefits are diverse. “We are tired of inequality growing and poverty staying where it is. The middle class needs a pay raise. Nothing else has worked for the middle class. Let’s try UBI”.

Widerquist continues, “Realize it is also a good deal for people who like capitalism, because it gets out a lot of the bureaucracy and paternalistic attitudes. It is simple and without supervision. The market economy will still exist, but without poverty.”

We spend so much time making our living that we never have time to live our lives.

With UBI, a lot of us would still want to work to get our luxuries, but we can take our time to reflect and do things we really want to do.

 

Info and links

Full interview podcast: we are here # 006 universal basic income

Special thanks to Josh Martin and Dave Clegg for reviewing this article

PODCAST: Sylvia Federici on Capitalism

PODCAST: Sylvia Federici on Capitalism

94.1 KPFA, a community radio station in Berkley, CA, USA, broadcasted Sylvia Fedetici’s talk on How Capitalism Endures on 26 April 2017. The podcast can be currently listened to here.

 

Federici was one of founders of the International Campaign for Wages for Housework, along with Maria Rosa Dalla Costa, Selma James, and others. She advocates an unconditional basic income. Federici mentioned that ‘the demand for a basic income has revived the interest in wages for housework’ in an interview in 2014.

 

Federici is the author of Caliban and The Witch: Women, the body and primitive accumulation, Autonomedia (2004) and Revolution at Point Zero: Housework, reproduction and feminist struggle (PM press, 2012).

 

Reviewed by Kate McFarland

VIDEO: ‘Capitalism will always create bullshit jobs’ –Owen Jones meets Rutger Bregman

In this video, Owen Jones, a British journalist, interviews Rutger Bregman, the author of Utopia for Realists: And How We Can Get There.

 

Bregman’s book makes the technological unemployment case for a basic income. Jones asks whether this case can stand, referring to John Maynard Keynes’ likely failed prophecy of a 15 hour work week by 2030 in his Economic Possibilities for Our Grandchildren. Bregman says that many current jobs are unneeded.

 

For more on ‘bullshit jobs’, see David Graeber’s 2013 article on ‘On the phenomenon of bullshit jobs.’ For social construction of both socially necessary jobs and socially unnecessary jobs, see Toru Yamamori’s keynote speech at 2016 BIEN congress on ‘What Can We Learn From a Grassroots Feminist UBI Movement? – Revisiting Keynes’s Prophecy.’

 

Reviewed by Russell Ingram

Paul Mason on Post-Capitalism and Universal Basic Income

Paul Mason on Post-Capitalism and Universal Basic Income

British journalist and broadcaster Paul Mason, author of Post-Capitalism: A Guide to Our Future, recently delivered a lecture in Amsterdam in which he points out the need for a universal basic income as a partial solution to changes in the economy due to new technologies. He raises related concerns in an article in The Guardian published shortly thereafter.  

On October 25, author Paul Mason delivered a lecture at the De Balie culture center in Amsterdam, the Netherlands, wherein he argues that technological advancement has been not only correlated with but in fact a cause of economic stagnation. He attributes this to several characteristics of new information technologies: the ability to automate more jobs and job tasks, the ability to produce and reproduce goods at very low (even zero) marginal cost, and the ability to combine data through networks to generate new goods not reflected in standard measures of economic growth.

In addressing how the left should respond, Mason says, “Our long-term aim should be to push more and more economic activity [to be] done outside the market and the state.” This requires, in part, that we “end [the] reliance on wages for work.” In this context, he continues: “We need quickly to pursue the experiments with the universal basic income  …  and aim within 10 years for states to be in a position to roll out the policy itself.”

He goes on to add, however, that UBI alone is insufficient; the state, for instance, should also provide “cheap basic goods” (he mentions housing, healthcare, education, and transportation) and promote open source and non-profit businesses.

The entire lecture, along with the Q&A session, can be viewed below. Mason has also published a text version of his lecture on Medium

 

https://vimeo.com/188859000#t=8m42s

 

In an October 31 article in The Guardian, Mason again broached UBI as a potential solution to technological unemployment — predicting a world in which smart technologies, such as autonomous vehicles, cause paid work to become scarce and sporadic. Here, in passing, Mason also links UBI to the potential fulfillment of Marx’s vision of a society in which people are free to “hunt in the morning, fish in the afternoon, rear cattle in the evening, [and] criticise after dinner” without ever assuming an occupational identity as hunter, fisher, cattle-rearer, or critic.

 

References

Paul Mason (October 27, 2016) “Postcapitalism [in Amsterdam]” Medium.

Paul Mason (October 31, 2016) “The battle over Uber and driverless cars is really a debate about the future of humanity” The Guardian.

 

Photo: Paul Mason in 2015, CC-BY-SA-4.0 DTRocks via Wikimedia Commons

LONDON, UK: Launch of Guy Standing’s Corruption of Capitalism (Oct 26)

LONDON, UK: Launch of Guy Standing’s Corruption of Capitalism (Oct 26)

The official launch event of Guy Standing’s new book, The Corruption of Capitalism: Why Rentiers Thrive and Work Does Not Pay (Biteback Publishing), will be held on October 26. It will be held at SOAS (School of Oriental and African Studies), University of London, where Standing is a Professorial Research Associate.

The Corruption of Capitalism MASTER jacket.inddFrom the event description:

There is a lie at the heart of global capitalism. While claiming to promote free markets, governments and international agencies have constructed the most unfree market system ever, fostering a plutocracy alongside a growing precariat mired in insecurity. This book shows how rentier capitalism, which Keynes predicted would die, is causing growing inequality. The income distribution system has broken down. A new one is needed, anchored on basic income (social dividends) and democratic wealth funds.

Guy’s talk will be followed by a “drinks reception”.

After the launch event, Guy will continue traveling to promote The Corruption of Capitalism. On November 1, he will head to New York City to speak about the theme of his book at a public lecture at the New School for Social Research. On November 8, back in England, he’ll present the book to an audience at the University of Huddersfield. And he’ll deliver a seminar on the book at Strathclyde University in Scotland on November 24. In addition, Guy will be speaking at the NOW Conference in Moscow (Nov 6), the Trade Union Leaders’ Summit in Nyon, Switzerland (Nov 15), and the Swedish Human Rights Conference in Malmo (Nov 16) — in addition to other talks and conferences. (Details on many of these events are forthcoming in Basic Income News.)   

Guy Standing is a co-founder and honorary co-president of the Basic Income Earth Network, and was responsible for naming the organization (originally the Basic Income European Network). His previous books include The Precariat and The Precariat Charter.

For more information about the London launch event, and to register for free, see EventBrite. The event is sponsored by Biteback Publishing and the Movements & Development Cluster of SOAS Labour.

For a teaser, read Guy’s article in openDemocracyUK based on The Corruption of Capitalism:

Guy Standing (Sep 5, 2016) “The left must combat rentier capitalismopenDemocracyUK.


Reviewed by Genevieve Shanahan

Guy Standing photo CC BY 2.0 BICN/RCRG Basic Income Canada