Is a Citizen’s Income Financially Feasible? Part Two: Household Financial Feasibility
Malcolm Torry
Abstract
Malcolm Torry
Abstract
This chapter discusses a second type of financial feasibility: one related to households’ finances rather than to governments’ finances. If at the point of implementation of a Citizen’s Income scheme low-income households were to suffer losses in their disposable incomes, or any households were to suffer significant losses, then the Citizen’s Income scheme would not be financially feasible. With a Citizen’s Income, it would be easier to turn additional earnings into additional disposable income than with means-tested benefits, initial losses would still be a problem. The chapter shows that Citizen’s Income schemes that leave means-tested benefits in place and take Citizen’s Incomes into account when means-tested benefits are calculated can pass this feasibility test, whereas schemes that abolish means-tested benefits struggle to do so. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
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This chapter discusses a second type of financial feasibility: one related to households’ finances rather than to governments’ finances. If at the point of implementation of a Citizen’s Income scheme low-income households were to suffer losses in their disposable incomes, or any households were to suffer significant losses, then the Citizen’s Income scheme would not be financially feasible. With a Citizen’s Income, it would be easier to turn additional earnings into additional disposable income than with means-tested benefits, initial losses would still be a problem. The chapter shows that Citizen’s Income schemes that leave means-tested benefits in place and take Citizen’s Incomes into account when means-tested benefits are calculated can pass this feasibility test, whereas schemes that abolish means-tested benefits struggle to do so. These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.
Key concepts: Earnings, Point (geometry), Low income, Economics, Comprehensive income, Labour economics, Business, Public economics