Universal Basic Income: What the F’ is wrong with it?
Greetings, [Full Disclaimer: I am the least qualified person to talk about this particular topic.]
Recently, an idea has been going around that has been talked about all over the world and seen in various countries like the Netherlands, Kenya, Canada, India, Scotland, Finland and Uganda. And quite surprisingly in California.
The idea that should save us all when the dreaded AI and robot armies take on all our jobs. It’s called the Universal Basic Income (UBI). and whether you like it or not, you can be sure to hear the term quite often.
I have been intrigued by the idea of universal basic income(UBI) in the recent time. So before any discussion, let’s figure out what UBI actually means. I wish to bring more clarity about the idea and address the misconceptions that surround it.
A basic income is a periodic cash payment delivered to all on an individual basis, without means test or work need.
First, why is the idea of universal basic income so controversial?
Fear.
The idea that we all have to work for what we have is, in a sense, the linchpin of an orderly society as many of us can imagine. If we were not all tied to the need to do the jobs we all do, would anyone do anything? Would the whole thing collapse like a house of cards? Let that question linger in your head for a minute.
There are a lot of logical questions that’s being raised by the critics.
Where would the money for such a large scale revolution come from?
Will it even work?
They assume that such a safety net discourages people from being productive. Imagine, one person starts a business, and since everyone is getting paid, regardless of their willingness to work — will choose not to work. As a result, business will eventually collapse because it will have no workers or any incentive to make huge profits given the progressive taxing. That would be the most stagnant condition.
So the next question is: is Universal basic income, a pedestrian platitude?
The answer is clearly not economic — it is moral and political. The ruling class has found that a happy and productive population with free time at hand is a deadly danger. On the other hand, the feeling that work is a moral value in itself, and that anyone who is unwilling to submit to intense work discipline during most of their wake-up hours, is extremely beneficial to them.
I would purposefully state that, in the long run UBI would definitely make things better. Consider the impact that poverty and unemployment has an impact on the country’s economy.
A general assumption (which i find extremely condescending) is that those in poverty are there because they are lazy, they lack the proper moral fiber, they don’t work. But new research from Harvard and University of British Columbia says that the poverty itself might make it harder to get out of poverty. According to Jiaying Zhao a professor at the University of British Columbia,”it’s not about the individual. it’s about the situation.” [source]
Psychologically speaking, it turns out that living in poverty and constantly worrying about your financial situation can artificially decrease your IQ. This is because poverty-related concerns consume mental resources, leaving less for other tasks.
This argument proves the point that a UBI system that is aimed at relieving the poor populace from it’s daily struggle for survival, and save it from the downward spiral of poverty, would help the economy flourish. It would equip the people to follow their personal pursuits, build micro-communities, encourage the pursuit of learning and literacy, and at its base, build a much happier nation.
Many reasons have been invoked in favor of Basic Income, including freedom and equality, efficiency and community, shared ownership of the earth and equal sharing of the benefits of technological progress, labor market flexibility and the dignity of the poor, the fight against inhumane working conditions, against the desertification of villages and farms for decent jobs in the urban jungle and against inter-regional inequalities, the viability of cooperatives and the promotion of adult education.
The inability to tackle unemployment with conventional means has, in the last decade or so, become a major reason for the idea being taken seriously throughout Europe by a growing number of scholars and organizations. Social policy and economic policy can no longer be conceived separately, and Basic Income is increasingly viewed as the only viable way of reconciling two of their respective central objectives: poverty relief and full employment.
Now, I’m not an expert at economic policies, but far from it. I’m your average middle class, pizza-loving dude. My perspective comes from my experience working in the development sector, watching the plight of the poor on a daily basis.
This is my take on the UBI, and jokes apart, It is indeed the responsibility of the government to make sure the people it governs are happy.
