Finland to test out basic income scheme
Source: AFP
Helsinki (AFP) - Switzerland may have voted against the controversial idea of paying all its citizens a guaranteed income, but Finland indicated Thursday it plans to try out a monthly basic payment of 560 euros ($600).
The government said it had chosen the figure for an unconditional basic income in line with a manifesto pledge by centrist Prime Minister Juha Sipila, who took office 15 months ago.
Former businessman Sipila wants to see if the measure can boost employment and simplify the welfare benefits system, and plans to test the idea on a 2,000-strong sample of randomly selected working-age residents.
"The primary goal of the basic income experiment is related to promoting employment," said the health and social affairs ministry, adding that it also aimed to simplify the complicated benefits system in a sustainable way regarding public finances.
Read more: https://www.yahoo.com/news/finland-test-basic-income-scheme-170922790.html
Helen Borg
(3,963 posts)I have no idea how they can afford it, but it would be nice to have.
hunter
(38,302 posts)For unemployed and unemployable people a minimum income is a safety net, for middle income people it's a wash because they pay more in taxes than they get back, and for high income people, yes, it comes out of their income as higher taxes, but they frequently spend as much for lunch, airline tickets, etc.., and they damned well better be paying a larger percentage of their income in taxes because unlike no-or-low income people, they are enjoying ALL the benefits of free markets.
People who are unemployed and unemployable do not steer the free market; they are not buying stocks and bonds, nor are they deciding who is worthy of loans and who is not.
I think of a basic national income as a dividend. It makes every citizen a trust-fund kid. Wealthy people don't have to worry about being homeless or starving when they are unemployed. Some wealthier people never do anything at all to contribute to society beyond paying taxes. And far too many wealthy people use their money in ways that are destroying the fabric of society and the earth's environment.
Yo_Mama
(8,303 posts)employment, the impact on Finland's fiscal balance might be positive.
Massacure
(7,512 posts)As far as the United States is concerned, the Federal Government will likely spend $1337 billion on Social Security and Unemployment as well as $1045 billion on Medicare and Health in 2016. If you divide the $2382 billion budgeted by the 248 million people age 18 and over in the United States, you could give everyone a $800 check each month.
Abolishing Social Security, Unemployment Insurance, Medicare, and Medicaid in exchange for a guaranteed $800 check each month is an interesting thought experiment.
Here are the two sources I used for my calculation:
http://datacenter.kidscount.org/data/tables/99-total-population-by-child-and-adult#detailed/1/any/false/573,869,36,868,867/39,40,41/416,417
https://www.nationalpriorities.org/analysis/2015/presidents-2016-budget-in-pictures/presidents-proposed-mandatory-spending-fy2016/
Helen Borg
(3,963 posts)So, you mean $800/month for every person from 18 to death?
TexasBushwhacker
(20,143 posts)How would someone be able to afford private health insurance with $800 a month. It's going to be more than that for anyone over 40.
The problem I have with basic income (and EITC) for that matter, is that they essentially subsidize low paying employers. For someone who can no longer work at all (to old or disabled) $800 is not even close to being enough to live on if all other assistance is taken away.
forest444
(5,902 posts)Though only for corporate executives.
That being: no boardroom executive shall step down, no matter how pathetic their performance, without a golden handshake and without becoming obscenely rich first.
Who says there's no generosity in this country any more?