“A Brief History of the Idea That Everyone Should Get Free Cash for Life” (Mother Jones)

“A Brief History of the Idea That Everyone Should Get Free Cash for Life” (Mother Jones)

(Credit to: The American Prospect)

Delphine d’Amora from Mother Jones has offered a brief history of the idea of basic income, tracking its development from the 18th century to its current resurgence with prominent modern advocates, such as Belgian philosophy professor Philippe van Parijs, and various basic income experiments ongoing in a number of countries.

“After decades of obscurity, the idea is suddenly in fashion,” d’Amora notes, “Politicians around the world are interested and a handful of governments, such as Finland and the Canadian province of Ontario, are planning or considering basic-income pilot projects.”

The article is an in-depth, chronological history of basic income, starting with the 18th century, and including various manifestations of the idea, including negative income tax as described by American economist Milton Friedman in an embedded video.

Read the full article here:

Delphine d’Amora, “A Brief History of the Idea That Everyone Should Get Free Cash for Life“, Mother Jones, December 26th 2016

ONTARIO, CANADA: Smiths Falls council reverses decision, votes to lobby for basic income pilot

ONTARIO, CANADA: Smiths Falls council reverses decision, votes to lobby for basic income pilot

In a reversal of a decision last December, the council of the Eastern Ontario town Smiths Falls has voted to send a delegate to an upcoming convention of municipalities to lobby for the town’s selection in Ontario’s basic income pilot study.

 

Background: Ontario’s Pilot Plans

The Canadian province of Ontario is currently in the consultation phase of the design of a pilot study of a basic income guarantee. According to the recommendations of the project adviser Hugh Segal, the pilot should test a guaranteed minimum income of approximately $1320 per month, plus an additional $500 for those with disabilities, which would replace the province’s current welfare and disability programs (Ontario Works and Ontario Disability Support Program) for at least three years. Segal proposes that this basic income guarantee take the form of a negative income tax, in which participants with no income would receive the full $1320 cash transfer, with no strings attached. The amount of the transfer would be gradually clawed back with additional earnings, with the result that participants whose income remains sufficiently high would receive no money as a result of participation in the pilot. The pilot will likely be designed to assess a variety of outcomes, such as health, food security, education, and employment.

While the final design of the pilot has not yet been announced, Segal has recommended that it include the selection of three saturation sites: communities in which every adult resident would be assured of the guaranteed minimum income. Saturation sites allow the province to investigate the effects of a basic income guarantee at a community level (such as effects on crime, utilization of public services, and civic participation), as well as to examine the process of administering the program within an entire municipality. (Segal advises that government test the basic income guarantee in such saturation in addition to conducting a randomized control trial in a large urban area.)

Segal further suggests that three saturation sites be chosen to represent three different “faces” of the province: Southern Ontario, Northern Ontario, and indigenous communities. He recommends that the communities be relatively geographically isolated, to limit “contagion” effects from surrounding communities, and to have stable populations. (For more discussion of the desired characteristics of saturation sites, see “Finding a Better Way: A Basic Income Pilot Project for Ontario”.)

The final design of the study is expected to be announced in April 2017, after which the pilot will enter its implementation phase.

 

New Support from Smiths Falls Council

Smiths Falls, an Eastern Ontario town of around 9,000 residents, now plans to lobby the provincial government for selection as one of the saturation sites. On January 16, 2017, the town’s council voted to send a delegate to the Rural Ontario Municipal Association (ROMA) Conference, which will take place at the end of the month in Toronto. At the conference, municipal delegates will have an opportunity to present their cases before Ontario’s Ministry of Community and Social Services (MCSS).

The council’s vote reversed a decision of December 19, 2016, when it voted 3-2 against sending a delegate to ROMA to lobby for the town’s selection in the pilot — a decision that defied the wishes of Mayor Shawn Pankow and incited protests among the Smiths Falls residents.

Prior to the December 19 meeting, Pankow had written to MCSS, expressing a desire that the provincial government consider Smiths Falls as a site for its basic income pilot. This action was taken without the knowledge of full council, leading some councillors to hesitate endorsing the proposal (with one later stating that he had felt “blindsided” by the mayor’s action). Pankow himself was unable to attend the meeting during which the council voted down the motion to lobby in favor of the pilot, having been stuck in holiday traffic en route from Ottawa.

The December 19 vote was not a vote against participation in the pilot per se (as the provincial government could still select Smith Falls for the pilot, even if the town itself does not produce a delegate lobby for it), and not all councillors who cast negative votes were themselves opposed to the idea of a basic income guarantee (or even, necessarily, its implementation in Smiths Falls). Nonetheless, some councillors did use the opportunity to voice their general opposition to basic income. Councillor Dawn Quinn, for example, was widely cited in the press for her assertions that the distribution of unconditional cash transfers is the wrong approach to poverty and that, instead, poor people must learn how to better budget their money.

The council’s initial decision faced a backlash from residents. One resident, Carol Anne Knapp, started a petition in the days after the vote, calling upon the council to conduct a re-vote on the matter. In early January, Knapp and another resident, Darlene Kantor, interrupted a city council meeting to demand the council support efforts to bring the basic income pilot to Smiths Falls.

The town has faced economic hardship following the closure of a Hershey’s chocolate plant in 2008, as well as the loss of other manufacturing plants such as Shorewood Packaging and Stanley Tools. Residents like Knapp and Kantor believe that the council should welcome the basic income pilot (if Smiths Falls is selected) as a potential solution to its high rate of poverty.

On January 12, a public information session on the basic income pilot, convened by the Smiths Falls council, drew a crowd of more than 250 people.

The response of constituents was influential in the council’s reversal of its decision at the January 16 special meeting.

 

References and Further Information:

Evelyn Harford, “Smiths Falls town council won’t have ultimate sway on basic income pilot project’s location, says province,” Smiths Falls Record News, January 6, 2017.

Evelyn Harford, “Protesters make a stand in support of basic income pilot at Smiths Falls town council,” Smiths Falls Record News, January 9, 2017.

Hillary Johnstone, “‘An occupy moment’: Smiths Falls residents demand basic income pilot project,” CBC News, January 10, 2017.

Evelyn Harford, “Council votes to send basic income delegation to ask questions, lobby province,” Smiths Falls Record News, January 16, 2017.

Chris Must, “Council reverses stance on basic income lobbying,” Hometown News.

 

See also:

John Chang, “CANADA: Council of small town Smiths Falls rejects basic income trial, residents disagree,” Basic Income News, January 16, 2017.

 


Reviewed by Dawn Howard

Photo: Bridge near Smiths Falls, CC BY-NC-ND 2.0 David McCormack

UK: Parliament hosts oral evidence session on universal basic income (video)

A Parliamentary session on universal basic income (commonly known in the UK as “citizen’s income”) was held at the University of Birmingham on January 12, 2017.

This session had the status of an “inquiry”, a formal call for information on the topic of citizen’s income, in the form of an oral evidence session to the Work and Pensions Committee of the UK Parliament. 

While this is not the first time in recent history that citizen’s income has been discussed in the UK Parliament (in September 2016, MPs debated the topic in the House of Commons), it is the first event of its status as an oral evidence session, at which selected experts were called to address questions from a cross-party committee of MPs.

Seven panelists took part in the session, selected by the committee on the basis of their background and interest in the basic income (and in part on the basis of the results from a request for participants released in October 2016). During the event, each panelist was given time for opening and closing statements on basic income, with about an hour allotted for addressing questions and concerns from the MPs on the committee. Questions focused on general information about basic income, its relationship to the existing welfare state, and arguments for and against it. 

An article by André Coelho on the content of the oral evidence session in forthcoming in Basic Income News. 

The entire session can be viewed here:

YouTube player


Panel Participants

• Louise Haagh (Reader at the University of York and Co-Chair of BIEN). Haagh supports a basic income as part of a system of progressive reforms.

• Annie Miller (Chair of Citizen’s Income Trust and founding member of BIEN’s affiliate Citizen’s Basic Income Network Scotland). Like Haagh, Miller supports a basic income, but only in conjunction with other benefits. Specifically, she believes that separate housing and disability benefits are needed in addition to a basic income.

• Becca Kirkpatrick (Chair of UNISON West Midlands Community Branch). Kirkpatrick agrees with Haagh and Miller that basic income should be adopted as part of progressive reforms (cf. her union’s 20-point manifesto, which includes a proposal for a basic income “micro pilot”).

• Ben Southwood (Head of Research at the Adam Smith Institute). Southwood is not only on the viewer’s right of the first three panelists but also the political right: he supports a basic income or negative income tax but only as a replacement to the majority of the UK’s existing welfare system.

• Peter Alcock (Emeritus Professor at the University of Birmingham). Alcock opposes basic income, which he describes as “such an appealing idea that it’s too good to be true” (referencing his 1989 article “Unconditional benefits: misplaced optimism in income maintenance”). He believes that, in the current system, demands for a citizen’s income are distractions from more pressing issues.

• Declan Gaffney (independent political consultant; policy advisor to the previous Mayor of London). Like Alcock, Gaffney believes that universal basic income is “too good to be true” — which, as it happens, are the precise words used in the title of a piece he wrote on the topic for The Guardian after Finland announced its pilot plans in late 2015. According to Gaffney, basic income is a useful “thought experiment” but not practically feasible or necessary.

• Andrew Harrop (General Secretary of the Fabian Society). Harrop endorses a related policy of “individual credits” for adults in the UK (cf. his report for the Fabian Society published last year); he stresses, additionally, that basic income and similar policies should be viewed through the lens of tax reform.


Photo: University of Birmingham at twilight, CC BY-NC-ND 2.0 Samuel George

US: Stanford University offers graduate seminar on Basic Income

US: Stanford University offers graduate seminar on Basic Income

Juliana Bidadanure, Assistant Professor of Philosophy at Stanford University, has designed a graduate seminar on the philosophy of basic income, which she is currently teaching for the winter term.

According to the official course description, the seminar will address questions such as the following: “[I]s giving people cash no strings attached desirable and just? Would basic income promote a more gender equal society through the remuneration of care-work, or would it risk further entrenching the position of women as caregivers? Would alternative policies be more successful (such as job guarantees, stakeholder grants, or a negative income tax)? How can we test out basic income? What makes for a reliable and ethical basic income pilot?”

The seminar will analyze and critique basic income from multiple perspectives in political theory, including feminism, liberalism, republicanism, communism, and libertarianism. Initial readings include classic works by Philippe van Parijs and responses from his critics. Subsequent sessions will address contemporary philosophical work on basic income, as well as potential alternatives, such as job guarantees. Additional topics include empirical work on the health (and other) effects of basic income, the role of automation in motivating basic income, and basic income in relation to gender and racial justice, among others.

Explaining why she was inspired to develop the course, Bidadanure says, “It has been my dream for a while to teach a class on the Philosophy of Basic Income. First, because I am committed to the idea that everyone has a right to an income and because I think that UBI deserves serious treatment; second, because I think it is a great lens through which one can teach Political Philosophy. There is great writing for and against basic income from within pretty much each and every school of political thought. And so my idea was to introduce students of a variety of disciplines to a broad range of writers in political philosophy by focusing on UBI. Given the recent interest in Basic Income in the US, including by computer scientists, engineers and economists, I thought that the timing was right to launch the class!”

 

On February 8, a special panel on basic income experiments will be held in connection with the seminar.

The panel will feature guests Guy Standing (Professorial Research Associate at SOAS, University of London; BIEN co-founder), Elizabeth Rhodes (Research Director of Y Combinator’s basic income experiment), and Joe Huston (Regional Director at GiveDirectly). Standing, Rhodes, and Huston will speak about basic income research in (respectively) India, Oakland, and Kenya. The event will be presented as a roundtable discussion and open to the public. More information on this event is available here.

 

Reactions from Students

Although housed in the Department of Philosophy, the seminar spans topics of interest to students in many disciplines. The seminar group is constituted by 10 enrolled participants as well as a further 10 auditors, comprising students of philosophy, political science, psychology, economics, computer science, engineering, and business.

Asked about his interest in the seminar, one participant, a PhD student in Economics, remarks, “Basic income is such a hot topic, but I’ve not come across much rigorous academic thinking on the topic, in any discipline. I now discover there is a whole bunch in philosophy, which I was unaware of and which is really exciting!”

Commenting on his reactions after the first session, he adds, “It’s awesome that the class is about a third economists, a third philosophers, and a third computer scientists – it seems like the venue for a truly exciting exchange of views; and the arguments for and against basic income are so much richer and more diverse than this economist expected!”

Another student in the seminar, Sage, is currently working towards a masters in Symbolic Systems while also finishing an undergraduate degree in Computer Science. Her interest in the topic derives from her work in the technology sector:

“My masters thesis is a work of political philosophy analyzing the responsibility of tech companies to help those in poverty. I am interested in Universal Basic Income because it has grown increasingly popular in the US due to the fear that one day all of our jobs will be completed by robots. I am interested in exploring the other reasons for Universal Basic Income and determining if it is a viable choice in the U.S. given our trajectory in the tech sector. I was impressed by how diverse our class was by region, interest, and background. Having the opportunity to discuss topics in basic income with students so different from me is a fantastic opportunity to round out my research.”

Anusha, a graduate student in Computer Science says her love for data structures (especially the top view of binary tree) made her focus on natural language processing and computer vision. She became interested in the seminar due to her background in AI:

“I was really interested in this seminar because Universal Basic Income has been receiving a lot of attention lately, especially in the Computer Science and AI communities, due to the potential impacts of automation on the future of work. There have also been a lot of discussions around the joint responsibilities of Silicon Valley and policymakers to help those whose jobs are most at risk. I’m really excited about this seminar because it addresses Universal Basic Income from several different perspectives, and I’m eager to learn about the various arguments for and against UBI from those standpoints.”

Nishith, an undergraduate senior in Computer Science who works on computer vision and reinforcement learning, became interested in UBI following a discussion of the economic impact of self-driving trucks and President-Elect Donald Trump’s emphasis on bringing manufacturing jobs back to America. He is excited by Bidadanure’s seminar, adding, “I was surprised to learn that discussions about UBI need not revolve around automation (as they do in Europe) and had a great time talking about the potential benefits and pitfalls of this proposed policy [at the first class meeting].”

 

Dr. Bidadanure, who holds a PhD in Political Philosophy from the University of York, has research interests at the intersection of philosophy and public policy.

She has written on the theory and practice of equality, including, in particular, age-group justice and what it means to treat young people as equals. She has written on the specific arguments to give a basic income to young adults as well as on hybrids of basic income and basic capital.

Bidadanure plans to teach an undergraduate course on basic income at Stanford in the next academic year. She is also working to launch a basic income research initiative at Stanford as part of the Center for Ethics in Society in 2017.


Reviewed by Genevieve Shanahan.

Information and photo provided by Juliana Bidadanure.

An Interview with Tim Dunlop (Part Two)

An Interview with Tim Dunlop (Part Two)

Interview by Scott Jacobsen

*Conducted via email with minor edits.*

 

The economy has shifted into high gear for knowledge and ability, the currently labeled Knowledge Economy concomitant with the Fourth Industrial Revolution. How has this affected inequality based on standard metrics of knowledge and ability, such as credentials from post-secondary institutions in relevant disciplines?

 

It has pretty much always been the case that an education will help you get a better job, with better pay and conditions. This is still basically true, though we are seeing even amongst the highly educated longer periods of unemployment, a failure to get “good” jobs, and increasing insecurity in the work that they do get. Why? Because we just don’t need the same number of people employed in order to make the economy work. By all means, get a great education, but look at it as much as an investment in developing yourself so that you will have a meaningful life as in getting a good job. Because maybe there is no job to be got.

 

You have argued for some form of Universal Basic Income (UBI) as fundamental to the “progressive civic” and “economic reinvention.” What are other terms or phrases for ideas associated with, but not the same as, UBI? What characterizes them?

 

There are a number of forms of basic income, not all of them universal. A common one is the idea of a negative income tax. So instead of paying tax, you are paid an allowance, but as you move back into work, get a job, the amount you are paid tapers until finally, you are back to paying tax and must make sure you do your year end tax planning. The real difference between this and a UBI is that it tries to integrate the allowance with the labor market whereas UBI tries to establish an income independent of it.

 

What makes the UBI plan of action unique?

 

I guess at heart it is the way it has the potential to break the nexus between remuneration and a job. It recognizes that many of the things we do as citizens and individuals fall outside the normal parameters of paid work but that nonetheless those things we do — from caring for children to volunteering with community organizations or political parties or sports groups — are valuable to society and so it makes sense to recognize that contribution. It also empowers workers to be able to say no to crap jobs offered on a take-it-or-leave-it basis.

 

What are the most common success stories of UBI or similar programs? Any failures?

 

Every trial of UBI I know of has been successful in that it has dispelled one of the biggest myths about giving people a no-strings-attached income, namely, that people become lazy and do nothing. Every trial shows almost the exact opposite. One of the most comprehensive trials is the one I talk about in my book, run by UNICEF in India. But similar positive results have been shown in other trials, including the one in New Jersey run by the Nixon Administration.

 

What city seems the most progressive and forward-thinking in its implementation of UBI?

 

Hard to say. A number of cities, including Utrecht in the Netherlands, are running trials, as are a couple of cities in Canada and Finland. I think this is great. It builds momentum and adds to the data supporting implementation on a larger scale.

 

What country seems the most progressive and forward-thinking in its implementation of UBI?

 

I guess Finland, but I think there are some issues with the route they have decided to take. They have chosen to test a partial rather than a full version. Still, it is good to see a national government move in this direction, however tentatively.

 

Any advice for would-be policymakers or activists about strategies for the implementation of UBI?

 

Gather data through trials. With trials, implement them with populations that will receive conservative support. In Australia, that might include rural communities, including farmers. Don’t pitch it as “free money” because it isn’t. Don’t let that description stand. Educate people about the notion of universality and why, in a democracy, it is important that everyone is entitled to certain benefits. Reach out across ideological divides, right and left. Involve business in discussions. Lobby for corporations to set aside a percentage of stock to be held by the government as part of the common wealth. It’s going to be a hard sell, so the sooner you start, the better!

And this raises the major piece of advice I would give: don’t oversell the idea of Universal Basic Income. As important a tool as it is likely to be for dealing with technological unemployment, it will not by itself solve the various social and economic problems that beset us and we should be careful not to suggest that it will.

This is the Korean version of the text.