$11,000 for Every Household: Could Guaranteed Income Work for America? (2014, credit, pension)

[Pinkmani]

From 1974 to 1979, the Canadian government tested a program called Mincome in Dauphin, Manitoba (town has less than 10,000 residents). In this govt. program, a family without an income would receive 60% of the low-income cut-off (a type of poverty line that CA uses). It didn't matter why you didn't have an income -- whether you were elderly, disabled, or simply unemployed. You only needed to earn below a certain amount.

Source - Fool.com

[chuckmann]

Only if EVERY other subsidy were to be eliminated.

[Serious Conversation]

Can't pay for it. We can't pay for our existing bills - how can we add a brand new entitlement? Right now, it's lunacy.

[Red On The Noodle]

That figure is pretty low. I don't think the unemployed, etc. would go for it. This article points out that all welfare benefits are worth much more than that (and they aren't taxed).

Welfare: A Better Deal than Work | Cato Institute

[s1alker]

Basic income is going to be inevitable. Full employment is a thing of the past.

[Hemlock140]

People are already getting more than that in unemployment, welfare, food stamps and subsidized housing. All that would do is encourage even more people to take advantage of a low income but leisurely lifestyle collecting benefits rather than work minimum wage jobs. It would also be going to those doing illegal activities making more than you and I but without reportable income that don't pay taxes, and the homeless panhandlers that make $200/day cash.

[Costaexpress]

What that policy says is that you should try to give up on working or getting ahead and living on the guaranteed income.

[chuckmann]

None other than Milton Friedman called for a "negative income tax" way back in the 60's



The whole point is to encourage work without punishing those on the dole.

The negative income tax, something that helped sink McGovern in 1972, evolved into the earned income credit that Reagan touted and is now the law.

[Opin_Yunated]

Yes, we need a basic income.

There are roughly 240 million adults in America. Everyone gets $10,000. This replaces all social spending. It would cost $2.4 trillion.

Institute a flat tax of 30%. A basic income + flat tax = progressive income tax schedule.

Even if everyone pays only an effective rate of $20%, $17e12 (GDP) * 0.2 = $3.4 trillion.

That covers the social spending, defense spending, and most other spending. Close up the budget table with pension reform (again, it is basically augmented by this system already), and cons get their "fiscal conservatism" while liberals get their basic income.

Problem solved.

[eddiehaskell]

I'm in my 20s, retired and live on less than $20k/year - bring on the minimum income!!!