Guaranteeing a specified monthly income to everyone is
justified on several grounds. I will mention only five.
The nature of work has been changing since the
industrial revolution. Wherever possible, a man will be replaced by a machine
or an app. Coronavirus will give an exponential boost to that process. China
has started by opening its highly automated factories before others that
require human intervention. Others are rushing to ‘employ’ robots on a large
scale. Since the pandemic has hit the developed world hard, robotisation and AI
will be a key to reopen business. By the time the pandemic ends, a few million
of the current unemployed will become unemployable. The poorest of the world usually lack the
education to readapt to new work that evolves. Their ever-increasing number can
survive only with an unconditional basic income.
UBI protects women and girls in two ways. The poorest
girls and women put in 12.5 billion hours every day of care work without being
paid. This phenomenon has been allowed to continue for ever. Secondly, many
women are subjected to domestic abuse. That currently is the largest crime in
lockdown times, even in developed nations. Most women tolerate the abuse for
want of income or financial security.
Paying unconditional income expands the middle class,
and is good for the economy. The incomes of the rich grow at a much faster rate
than those of the poor. (Saez and Piketty show that between 1979 and 2014, in
the income pie the bottom half went down from 20% to 13%. Share of the top 1% went
from 11% to 20 %.)
UBI is administratively an efficient system. Most
developed countries have several welfare measures, subsidies, student grants. The
cost of administering each of them is significant. Income tax allows several
deductions and exemptions. The minimum salary where tax slabs begin is nothing
but a form of basic income for a working person. This multitude of benefits can
be merged into UBI to create an efficient welfare system.
Finally, it saves the soul of the society. Arts and
literature, classical music and dance, other performing arts which satisfy the
soul, decline in a consumerist society. This was one of the few advantages of communism.
Basic income allows poets to write cheerful poems.
Ravi
It is possible only in non corrupt government where everybody would pay fair income tax at source. Education of all is equally important. I wish they could start system something similar to NHS providing healthcare and subsistence for most.
ReplyDeleteGiving subsidies or grants only to lower income group and not based on caste system
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