by Josh Martin | Aug 22, 2014 | Research
[Josh Martin]
Dolan’s post focuses on Representative Paul Ryan’s recently proposed welfare reform, which would consolidate many individual welfare programs into one grouped “Opportunity Grant” for each applicable citizen. While Ryan should be praised for trying to cut back on the bureaucracy in welfare, Dolan believes that Ryan’s biggest error was continuing to impose work requirements on each beneficiary, thus maintaining the work disincentives associated with moving from benefits into work. Dolan believes that Ryan’s plan should have gone further in allowing states to implement a universal basic income if they choose.
Ed Dolan, “Universal Basic Income: An Idea Whose Time Has Come”, Real Clear Markets, 6 August 2014
by Josh Martin | Aug 14, 2014 | Research
[Josh Martin]
Konczal vehemently disagrees with Zwolinski’s post from Cato Unbound that made a pragmatic libertarian case for a basic income. In the original post, Zwolinski points out the number of different welfare programs and the size of its bureaucracy as a reason to switch to the simpler basic income, but Konczal counters this by showing that seven programs account for most of welfare and that the average administrative cost is around five percent for each program. Thus, Konczal claims that a push for a basic income needs to be built on a sturdier argument than the libertarian one.
Mike Konczal, “The Pragmatic Libertarian Case for a Basic Income Doesn’t Add Up”, Next New Deal, 8 August 2014.
Konczal discusses the size of the bureaucracy in welfare (Source: Next New Deal)
by Karl Widerquist | Aug 10, 2014 | Research
Paul Krugman, the New York Times
In this article, Noble-prize-winning economist Paul Krugman criticizes a plan for a Basic Income Guarantee (BIG) put forward by libertarians. He does not say outright whether he believes BIG is a good or bad idea in itself. He says instead that a libertarian plan to eliminate costly, inefficient welfare bureaucracy and save enough money to provide a sizeable basic income guarantee for everyone. With reference to Mike Konczal, Krugman argues that there isn’t enough inefficiency to fund such a large initiative. Krugman writes, “Actually, the cost of bureaucracy is in general vastly overestimated.” According to Krugman, “The great bulk of welfare-state spending comes from a handful of major programs, and these programs are fairly efficient, with low administrative costs.”
That’s the extent of the analysis. Krugman criticizes only this one plan for BIG. He doesn’t say anything good or bad about BIG overall or about whether it would be worth paying more taxes to create a BIG. By criticizing one plan for BIG and saying nothing good about any other plans, the overall implication is negative, but that is only an implication, and it may or may not be intended.
Paul Krugman, “Libertarian Fantasies.” The New York Times, Opinion Pages: The Conscience of a Liberal, August 9, 2014
by Josh Martin | Aug 6, 2014 | Research
[Josh Martin]
Zwolinski’s excellent article acts as the lead essay for a special month-long debate hosted by Cato Unbound on “The Basic Income and the Welfare State”. Written from the pragmatic libertarian perspective, Zwolinski outlines the current libertarian objections to the welfare state—largely its complexity and extensive bureaucracy—and argues that a basic income guarantee would be much more desirable for libertarians than the status quo. To solidify his argument he highlights four main benefits of a basic income guarantee: it would have less bureaucracy, be cheaper to implement, see less rent-seeking behavior, and be less paternalistic in nature than the current system. Zwolinski ends his essay by admitting that a perfect libertarian utopia will never happen, but a basic income guarantee could help nudge society in its direction.
Matt Zwolinski, “The Pragmatic Libertarian Case for a Basic Income Guarantee”, Cato Unbound, 4 August 2014.
Cato Unbound is hosting a month-long discussion on "The Basic Income and the Welfare State"
by Craig Axford | Jul 14, 2014 | Opinion
During the 2014 elections for the European Parliament, the Basic Income Earth Network, at the request of its partner, Unconditional Basic Income Europe, signed an open letter to all candidates for the European parliament. The full text of the open letter follows.
Open Letter To All Candidates For The European Parliament
Given the commitment by the EU to reduce poverty by 20 million by 2020, most people want to know: What will you do to deliver results for people in the European Union? Did you know that according to the most recent data available, around one fourth of the EU population, that is about 120 million people, are at risk of poverty? However, given the prolonged economic crisis since 2008 and increasing automation of production permanently eliminating many jobs, there are reasons to believe that the situation will get even worse in the future if nothing changes.
Unconditional Basic Income Europe, which represents basic income networks and organisations in 25 EU countries, along with Basic Income Earth Network, with members all around the globe, would like to underline the current threat which income inequality represents to a peaceful, democratic and social Europe. Therefore we expect our newly elected representatives to support those strategies which will promote social cohesion and ensure sustainable and inclusive development in Europe. Our representatives should see the crisis as a wake-up call.
Unconditional Basic Income (UBI) is an amount of money, paid on a regular basis to each individual unconditionally and universally, high enough to ensure a material existence and participation in society. It differs from traditional guaranteed minimum income (GMI) / social security schemes by removing the bureaucracy and its costs as well as the stigma of means-testing. UBI also eliminates the disincentive to work caused by the high marginal tax rates (65-95%) imposed by these schemes.
Pilot studies throughout the world have proved that UBI is a far more effective tool for reducing poverty and inequality than traditional social security schemes and subsidies, with more positive effects on local economies, health, societal cohesion, public safety and education. An unconditional basic income implemented throughout Europe could also reduce tensions created by intra-EU immigration forced by lack of economic opportunity. It may seem like a radical proposal, but the current ‘business as usual’ attitude is not sustainable and endangers the EU itself.
We expect our representatives and the European Commission to take further serious and practical steps on the European Parliament resolution 2010/2039(INI) of 20 October 2010 on the role of minimum income in combating poverty and promoting an inclusive society in Europe.
Considering that the unemployment rate will gradually increase due to technological advancement while productivity increases, ordinary Guaranteed Minimum Income schemes are becoming less and less effective, leading to rising inequality and social exclusion – all these lead to conclusion that we need culture change to tackle these problems. If you are elected, will you raise a debate about unconditional basic income in the European Parliament and will you stand for implementing it in the EU?
The 9th of May is celebrated as Europe Day because of the Schuman Declaration of 9 May 1950 by French Foreign Minister Robert Schuman. He had a strong vision of a Europe which was peaceful and prosperous for everybody without exception. Europe has become peaceful and prosperous, but not for everybody. Let´s finish the job Robert Schuman has started. What are we waiting for?
Undersigned by:
Unconditional Basic Income Europe
Basic Income Earth Network
The open letter was originally posted at: https://one-europe.info/initiative/open-letter-to-all-candidates-for-the-european-parliament
Sources about poverty in Europe and Unconditional Basic Income:
Ending Poverty is a Political Choice! https://www.eapn.eu/en/news-and-publications/press-room/eapn-press-releases/ending-poverty-is-a-political-choice
Short movie: https://www.youtube.com/watch?v=zru79jcVTt4
Recent interview with Prof. Philippe van Parijs, Université Catholique de Louvain (UCL): “Van Parijs: An unconditional basic income in Europe will help end the crisis“ https://www.euractiv.com/sections/social-europe-jobs/van-parijs-unconditional-basic-income-europe-will-help-end-crisis-301503
For more profound insight, please watch the movie “Basic Income – a Cultural Impulse“ https://dotsub.com/view/26520150-1acc-4fd0-9acd-169d95c9abe1
Unconditional Basic Income Europe: https://basicincome-europe.org/
Basic Income Earth Network: https://basicincome.org
