by Andre Coelho | Apr 28, 2020 | News, Research
Finland’s Basic Income Experiment was the world’s first statutory, nationwide and randomized basic income experiment. That experiment, in which preliminary results have already been reported on, several research questions were asked: How did the Basic Income Experiment affect participants’ employment? What were the effects on health, livelihoods and experiences of government bureaucracy? In interviews, how do the participants perceive the significance of the experiment in their lives?
The final results of the basic income experiment will be released on Wednesday, May 6th 2020, online. In this webcast, researchers present findings of the basic income experiment on employment and well-being of the participants.
The results presented are based on an analysis register data from both pilot years as well as on face-to-face interviews with the participants in the experiment. In addition, survey data has been analyzed more comprehensively than before.
The webcast will be held, in Finnish, from 1 pm to 2:15 pm and, in English, from 2:20 pm to 3:00 pm (Finnish time, GMT+3). The webcast is open to anyone interested.
by BIEN | Apr 21, 2020
What is a Basic Income?
A Basic Income is a periodic cash payment unconditionally delivered to all on an individual basis, without means test or work requirement.
Sometimes called Universal Basic Income, a Citizen’s Income, or a Citizen’s Basic Income, it is not the same as a Minimum Income Guarantee; A Basic Income does not reduce as one earns more. For more information: About Basic Income
Why do we need it?
Because someone’s Basic Income would never be taken away, it would
- provide a secure financial platform to build on
- enable the employment market to become more flexible at the same time as enhancing income security
- give to everyone more choices over the number of hours for which they were employed
- enable carers to balance their caring and other responsibilities
- make it easier to start new businesses or to go self-employed, and
- encourage personal freedom, creativity, and voluntary activity
Because everyone would get a Basic Income, it would
- create social cohesion, and
- carry no stigma
Because the Basic Income would never be withdrawn, it would
- reduce the poverty trap for low income families, enabling them to lift themselves out of poverty by seeking new skills, better jobs, or additional hours of employment
- reduce the unemployment trap, so getting a job would always mean additional disposable income
Because Basic Income would be simple and efficient, it would
- be easy to understand
- be cheap to administer and easy to automate
- not be prone to errors or fraud
Many current benefits system are no longer fit for purpose. They assume that everyone has a stable single employment, that household structures don’t change, and that individuals’ circumstances change very rarely. Our lives are no longer like that: and as technology and the employment market continue to change, our benefits systems will become even less appropriate.
In a context of rapid change, the only useful system is a simple one. A Basic Income is as simple as it gets.
For a list of 101 reasons for a Basic Income, see Malcolm Torry’s book, 101 Reasons for a Citizen’s Income.
Why pay money to the rich when they don’t need it?
It is efficient to pay the same level of income to everybody of the same age and then tax it back from those who don’t need it. The alternative is to means-test incomes so that only those who are poor receive them: but that results in complexity, stigma, errors, fraud, and intrusive bureaucratic interference in people’s lives.
Would Basic Income be financially feasible?
Tests for a Citizen’s Basic Income scheme’s financial feasibility might be listed as follows:
- Revenue neutrality ( – that is, it would be funded by making changes to the current tax and benefits system), or sustainable additional funding should be shown to be feasible
- Poverty and inequality need to fall
- Low income households should suffer no significant losses at the point of implementation, and no household should suffer unmanageable losses
- Income Tax rates should rise by a clearly manageable amount
- A significant number of households should be released from means-tested benefits
Would people still work?
If by ‘work’ we mean ‘paid employment’, then the answer is yes. In the short to medium term, we are unlikely to see a Basic Income that would be sufficient to live on, so everyone would need additional sources of income. And because Basic Incomes would not be withdrawn as earnings rose, any family taken off means-tested benefits by their Basic Incomes would experience a reduction in withdrawal rates, and would experience more incentive to seek employment, or to start their own business, than they do now.
If by ‘work’ we mean purposeful activity of any kind, then the answer is again yes. By providing a secure layer of income, a Basic Income would enable people to readjust their employment hours in order to undertake additional caring and community work.
Why pay money to people who do nothing?
In many countries we are already paying means-tested benefits to people who do nothing, and the complexity and sanctions associated with those payments demotivate people and can tip their families into poverty. A Basic Income would take a lot of people off means-tested benefits, and so would encourage economic activity. Pilot projects in India and Namibia showed that in countries with less developed economies, and without comprehensive benefit systems, even quite small Basic Incomes increase economic activity among households with the lowest disposable incomes.
Would immigration go up?
As with other benefits, a government would be likely to require a period of legal residence before someone could receive a Basic Income. Because Basic Income would provide everyone with a secure layer of income, and therefore a greater employment incentive than means-tested benefits, anyone coming into the country would be even more likely to contribute to the economy than they are now.
Would wages fall?
Means-tested benefits function as dynamic subsidies – that is, they rise if wages fall, which can encourage wage-cutting. A Basic Income would not rise if wages fell, so employers would experience more resistance if they attempted to cut wages.
Some wages might rise. Because everyone would have a secure financial platform on which to build an income strategy, some workers would be more able to leave undesirable jobs in order to start their own businesses, or to learn new skills and seek new jobs; and workers would be able to spend longer looking for a job that they might want, rather than just any job. Either currently undesirable jobs would have to improve, or wages would have to rise in order to attract workers.
Some wages might fall. Because everyone would have a secure income layer, some people might decide to take a desirable job even if it didn’t pay very much. Wage levels for desirable jobs might therefore fall.
Would a Basic Income threaten the welfare state?
If a revenue neutral Citizen’s Basic Income scheme were to be implemented, then no cuts to public services would be required. The amounts of means-tested benefits received by households would fall, but only because those households were already receiving Basic Incomes. Benefits specifically designed to cover the additional costs of disability, and benefits to cover the differing housing costs in different areas, would continue.
Would a Basic Income cause inflation?
Inflation occurs when the amount of money available to spend is greater than the value of the economy’s productive capacity. In that situation, if the amount of money keeps growing, then each unit of money can buy progressively less, so money loses its value, sometimes rapidly. A Basic Income scheme paid for purely by making changes to the current tax and benefits system would not add to the money supply, so inflation would not occur. If the amount of money available to spend was below the productive capacity of the economy, then a government could create money until the gap was filled, and that new money could be used to pay a Basic Income: but if inflation started to occur, then money creation would have to stop, and new taxes would have to be used to pay for the Basic Income.
Has a Basic Income ever been tried?
Short pilot projects have taken place in Namibia and India, and something like a Basic Income has been implemented by accident in Iran. Experiments with the similar but different Minimum Income Guarantee and Negative Income Tax in the United States and Canada during the 1970s showed useful social outcomes and very little withdrawal from employment. The similarities between the economic effects of a Minimum Income Guarantee and Basic Income would suggest that the results of the Minimum Income Guarantee experiments would be replicated if a Basic Income were to be implemented; and the differences between them mean that the effects are likely to larger for Basic Income than for the 1970s experiments. Basic Income pilot projects and similar experiments continue in the United States, Uganda, Kenya, Spain, and the Netherlands, and experiments are planned for Scotland.
Further reading
More detailed responses to questions can be found in chapter 10 of Malcolm Torry, Why we need a Citizen’s Basic Income: The desirability, feasibility and implementation of an unconditional income, Policy Press, 2018.
Recently published introductions to the subject are as follows:
Louise Haagh, The Case for Universal Basic Income, Polity, 2019
Annie Miller, A Basic Income Handbook, Luath Press, 2017
Guy Standing, Basic Income: And how we can make it happen, Penguin, 2017
Malcolm Torry, Why we need a Citizen’s Basic Income: The desirability, feasibility and implementation of an unconditional income, Policy Press, 2018
For a detailed treatment of feasibility, see Malcolm Torry, The Feasibility of Citizen’s Income, Palgrave Macmillan, 2016
For chapters on many aspects of the Basic Income debate by world experts, see The Palgrave International Handbook of Basic Income, Palgrave, 2019
by BIEN | Apr 20, 2020
Executive Committee posts and postholders
Sarath Davala is an Indian sociologist based in Hyderabad, India. He co-founded India Network for Basic Income and Mission Possible 2030 – both organisations working on basic income related issues. From 1993 to 2000, he was an Associate Professor at the Indian Institute of Management Bangalore. Between 2010 and 2014, he was the Research Director of the Madhya Pradesh Basic Income Pilot Project. He is the co-author of the book: “Basic Income: A Transformative Policy for India”, which summarised the findings of the MP BI pilot study. He is currently co-leading another basic income pilot with waste collectors in the city of Hyderabad, India, a project initiated by University of Bath, and supported by European Research Council. Sarath is also collaborating with different agencies to innovate solutions to reach cash the last mile in the rural parts of India.
Hilde Latour has a background in biomedical sciences and cultural anthropology and years of experience in program- and knowledge-management. She is a life member of BIEN, board member of Basisinkomen Nederland (dutch BIEN) and co-founder of Mission Possible 2030 – Basic Income the key to SDG. As a Guest lecturer at the blockchain minor – International Financial Management and Control at The Hague University of Applied Sciences, she explores the boundaries of paradigm shifts, such as Building Commons on the blockchain, a new narrative for Basic Income
Diana Bashur, MA: After working for the UN and other international agencies in development and political analysis in New York, Vienna and Damascus, Diana returned to university to research a different approach to peacebuilding. Currently at the University of Vienna, she is researching Basic Income as a tool for peacebuilding with a focus on the Middle East and a particular interest in its potential for social cohesion. Diana was elected BIEN Secretary in August 2021.
News service editor
Peter Knight
Peter Knight joined BIEN in 2017. He is a PhD (Stanford University) economist and strategic analyst with broad international experience in digital transformation, e-development, e-government, distance education, electronic media, telecommunications reform, international banking, foundation work, and teaching. Peter is devoted to leveraging information and communication technologies to accelerate social, economic and political development. He currently focuses on promoting thought, communication, and action across three areas: sufficiency, sustainability, and innovation; he is Coordinator of the Sufficiency4Sustainability Network.
Features editor
Tyler Prochazka
Tyler Prochazka is the opinion editor for BIEN. He is the chairman of UBI Taiwan and a PhD student at National Chengchi University.
Research Coordinator
Jurgen De Wispelaere
Jurgen De Wispelaere is a political theorist turned public policy scholar, specializing in the political economy of basic income. He is currently a Visiting Professor at the Götz Werner Chair of Economic Policy & Constitutional Theory, University of Freiburg, as well as an Associate Professor (Docent) in the Faculty of Social Sciences at Tampere University. He has published extensively on the politics of basic income and is the co-editor of four volumes as well as the Founding Editor of the interdisciplinary journal Basic Income Studies. Jurgen has been a member of the BIEN EC in 2002-2004 and also co-organised the BIEN Congresses in Montreal (2014) and Tampere (2018).
Affiliate and public outreach
Julio Linares
Julio Linares is an economic anthropologist from Guatemala. He holds an Msc in Anthropology and Development from the London School of Economics and Political Science and a MA in Applied Economics and Social Development from National ChengChi University (國立政治大學) in Taipei, Taiwan. His research focus dwells on the relationship between money, direct democracy and unconditional basic income. Julio is currently based in Berlin, Germany, where he explores these topics in practice with the Circles UBI project. Julio is currently serving his second term as Public Outreach for BIEN. He speaks Chinese, English, Spanish, German and a bit of Hungarian.
Hubs Supervisor
Hubs Supervisor
Dr. Neil Howard
Neil is a Lecturer in International Development at the University of Bath. His research focusses on the governance of exploitative and so-called ‘unfree’ labour and in particular the various forms of it targeted for eradication by the Sustainable Development Goals. He currently co-leads a pilot in India trialling UBI and participatory action research as potential policy responses to indecent or exploitative work in Hyderabad, India. Neil is also a founder and editor of the Beyond Trafficking and Slavery platform publishing at openDemocracy.net.
Affiliates Coordinator
Olaf Ostertag
Dr. Malcolm Torry was elected as BIEN’s treasurer in 2021 following five years in the voluntary post of General Manager, during which time he facilitated the stabilisation of BIEN’s registration, administration, and financial affairs. He is a priest in the Church of England who is now Priest in Charge of St Mary Abchurch in the City of London. For twenty years he was Director of the Citizen’s Basic Income Trust in the UK, for ten years he was a Visiting Senior Fellow at the London School of Economics, and he is now a Visiting Fellow at the Institute for Policy Research at the University of Bath. He has written several books on Basic Income, and has edited two editions of the Palgrave International Handbook of Basic Income: https://torry.org.uk/basic-income.
Social Media Manager
James Grant
James has been contributing to BIEN’s online presence since 2018, becoming the Social Media Manager for the organisation in 2021. He studied International Relations at Queen Mary, University of London, and currently works in the tech sector, focused specifically on Virtual Reality technology.
Bank account trustees (not members of the Executive Committee): Jake Eliot, Annie Miller, Simon Duffy, Reinhard Huss
Chair of the International Advisory Board: Philippe Van Parijs
Tasks related to the different posts
The task of the EC
BIEN’s purpose is: To educate the general public about Basic Income, that is, a periodic cash payment delivered to all on an individual basis, without means test or work requirement; to serve as a link between the individuals and groups committed to, or interested in, Basic Income; to stimulate and disseminate research about Basic Income; and to foster informed public discussion on Basic Income throughout the world.
The task of the EC is to ensure that BIEN fulfills its constitutional purpose and to set policy to that end.
General duties of EC members
- To attend EC meetings, and if not attending to send apologies. At least 50 % of meetings must be attended between one General Assembly and the next
- To fulfill and develop the tasks related to the post to which you were elected
- To work with any working group(s) to which you are allocated in order to fulfill the tasks allocated to the group(s) by the EC
Individual duties
Chair
The role of the Chair is to collectively develop a vision, mission and long-term strategy for BIEN. In all aspects the Chair should work closely and in consultation with the Vice-Chair.
She / he should seek new partnerships globally and develop meaningful collaborations with people and organizations that will further the strategic objectives of BIEN in terms of strengthening research about Basic Income, its dissemination worldwide in as many languages as possible so that basic income discussion becomes rigorous and robust. In addition to these strategic aspects of the role, Chair in consultation with the Vice-Chair and the EC members should fulfill the following tasks:
- To chair meetings of the EC and the General Assembly
- To propose policy and initiatives for BIEN and to lead them
- To ensure that decisions made by the EC conform to BIEN’s purpose
- To take any urgent decisions required between EC meetings
- To represent BIEN to other organizations and individuals
- To liaise with the congress Local Organizing Committees over the content of congresses
- To submit an annual report to the General Assembly
- To raise funds for BIEN and make it financially sustainable
- To encourage new organizations to affiliate to BIEN, and work for growth of membership
Vice Chair
- To fulfil all of the functions of the Chair whenever the Chair is absent
- To fulfil any of the tasks of the Chair by mutual agreement
- To support and help the chair in proposing policy goals and initiatives for BIEN and to assist with leading them
Secretary
- In consultation with the treasurer, to keep an up to date register of BIEN members and of members of the EC
- To take minutes of EC and GA meetings
- In consultation with the Chair, to prepare meeting agendas
- To prepare papers required by the EC
- To send agendas, minutes and other papers to EC members before EC meetings and to BIEN members before meetings of the GA
- To receive correspondence and ensure that it is acted on
- To undertake correspondence as required by decisions of EC and GA meetings
- To ensure that all requirements of registration by the UK’s Charity Commission are met
- To administer elections, including proposing tellers to the EC
Treasurer
- To keep income and expenditure accounts along with evidence of income and expenditure
- To make payments as agreed by the EC
- To submit regular financial reports to EC meetings
- To prepare annual accounts
- To liaise with the auditor over auditing of the accounts
- To prepare budgets if asked to do so by the EC
- To manage the bank and other accounts
- To propose financial rules to the EC
Hubs Supervisor
The Hubs Project involves building regional BIEN hubs in Africa, Asia and Latin America and professionalising BIEN’s day-to-day activities. The project aims to strengthen the basic income ecosystem and BIEN’s role in it.
- Regular oversight of the Hubs project
- Meeting with BIEN coordinator and regional hubs managers to check progress and course correct
- Strategic support to coordinator and regional hubs managers
- Reporting to the BIEN EC about project progress
- Connecting with partners and donors around the project.
BI News Editor
- In consultation and cooperation with the EC and Chair to develop news policy
- To oversee BI News posts on the website
- To issue monthly BIEN Bulletin emails
- To supervise the work of the volunteers allocated to the news service
- To ensure that guidelines agreed by the EC are adhered to by volunteers
Social media manager
- In consultation and cooperation with the EC, Chair and News Editor to develop social media policy
- To oversee social media channels
- To supervise the work of the volunteers allocated to social media
- To ensure that guidelines agreed by the EC are adhered to by volunteers
Affiliate and Social Outreach
- To maintain an up to date register of affiliated organizations and their contact details
- To liaise between affiliated organizations and the EC
- To convene meetings of representatives of affiliated organizations at and between congresses
- To oversee BIEN’s relationships with international and other organizations in consultation with the Chair and in conformity with policy set by the EC
- To assist with convening meetings between BIEN and other organizations both at congresses and on other occasions in consultation with the Chair and Congress local organizing committees
Website Manager
- To manage the website and liaise with its other users in consultation with the Chair and in conformity with policy set by the EC
Volunteer Recruitment Officer
- To oversee the recruitment, allocation and training of volunteers
- In consultation with the Chair and in conformity with policy set by the EC to liaise with volunteers and to manage volunteer policy
Congress Organizer (appointed by the EC and the Local Organizing Committee)
- To co-ordinate the Local Organizing Committee (LOC) that plans the congress
- To liaise between the EC and the LOC by attending EC meetings and in other ways
Bank account trustees
- To facilitate the relationship between BIEN and the Charity Commission
- To facilitate the efficient management of the bank account
Research Coordinator
- To develop research policy and initiatives in consultation with EC and Chair
- To review and update information related to research pages on the BIEN website
- To assist and suggest measures to promote quality of research at BIEN congresses
- To serve as point of contact for outside research-related organizations and activities
- To facilitate research initiatives in collaboration with external research and community partners
- To engage in exploring strategic funding options for basic income research initiatives
by Giulia Traversi | Apr 20, 2020 | News
Canada is taking measures to face the Covid-19 pandemic. The situation requires, together with radical and fast actions in medical terms, radical and fast actions in economic and social terms.
The introduction of a Basic Income has been a topic for years in Canada and with the current crisis, it is showing even more possible benefits. While one can always approach a private money lender for emergencies, having a basic income can better sort the situation.
On the 18 March the Prime Minister, Justin Trudeau, announced the federal response to the crisis: a $82 billion relief plan which allocates $27 billion in direct support and $55 billion to help businesses liquidity through tax deferrals. So far, the Opposition parties have been supportive, especially the New Democratic Party which is pushing the Government for more generous and comprehensive measures.
The Canada’s Covid-19 Economic Response Plan includes a temporary boost to Canada’s Child Benefit payments, a new emergency Care Benefit to provide income support to workers, the Canada emergency response Benefit (CERB) and other targeted measures. The CERB is a monthly payment of 2000$ a month for a period of 4 months that will go to any worker who earned at least 5000$ in the past 12 months and has suddenly lost their job as a result of the pandemic. The Government has estimated that more than 2 million Canadians will receive a temporary Basic Income through the CERB. Understandably, Basic Income advocates have stressed the desirability of a more universal approach, as opposed to the long list of targeted measures such as those above, which can represent a cost in terms of classifying the beneficiaries due to long and sometimes bureaucratic processes. They have pressed for keeping a Basic Income model which can last after the pandemic is over, because Covid-19 will probably not be the last major setback to the Canadian economy. The next time it could be the shock from climate crisis or technological unemployment.
The CERB is not the first measure something like a Basic Income that Canada has experienced. An experiment called a Basic Income pilot was introduced in April 2017 by Kathleen Wynne’s liberal Government. The program consisted in monthly payments for 4000 randomly chosen individuals living under the poverty line, without work conditions, in three communities in Ontario. The program, originally stated to be for 3 years, ended prematurely, but showed interesting effects: the majority of the people who had low wage jobs before the trial remained in the workforce. Many went back to school, and mental health improved. The payments were like a Basic income in that they were not work-tested, but because they were income-tested and based on the structure of the household, the experiment was not a Basic Income pilot experiment.
The Basic Income Canada Network has proposed some options for Canada: among them there is cash transfer based on household income for 18-64 year olds people, of $22.000 per year ($31.113 for a couple) that decrease gradually as other income increases. This would be similar to the Ontario experiment, and so not strictly a Basic Income, but the report does model a fully individual, universal basic income option.
The time for Basic Income may have come and Governments around the world are implementing measures to address the financial fallout of the Covid-19 crisis. To many, a Basic Income – regular payments to individuals that are not work-tested or means-tested – may sound radical, but it might be the most rational thing the Government can do for Canadians.
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