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Title: Finland is considering giving every citizen €800 a month
Source:
UK Telegraph
URL Source: http://www.telegraph.co.uk/news/wor ... every-citizen-800-a-month.html
Published: Dec 6, 2015
Author: Adam Boult
Post Date: 2015-12-06 12:42:26 by cranky
Keywords: None
Views: 11309
Comments: 62
Proposals for a national basic income are intended to simplify the social security system and encourage more unemployed people to take on temporary work Authorities in Finland are considering giving every citizen a tax-free payout of €800 (£576) each month. Under proposals being draw up by the Finnish Social Insurance Institution (Kela), this national basic income would replace all other benefit payments, and would be paid to all adults regardless of whether or not they receive any other income. Unemployment in Finland is currently at record levels, and the basic income is intended to encourage more people back to work. At present, many unemployed people would be worse off if they took on low-paid temporary jobs due to loss of welfare payments. More than 10 per cent of Finland's workforce is currently unemployed, rising to 22.7 per cent among younger workers. According to research commissioned by Kela, close to 69 per cent of the Finnish population favours the idea of a national basic income. Finnish Prime Minister Juha Sipila Detractors caution that a basic income would remove people's incentive to work and lead to higher unemployment. Those in favour point to previous experiments where a basic income has been successfully trialed. The Canadian town of Dauphin experimented with a basic income guarantee in the 1970s and the results - both social and economic - were largely positive. Finnish Prime Minister Juha Sipilä supports the idea, saying: “For me, a basic income means simplifying the social security system.” The basic income will cost Finland roughly €46.7 billion per year if fully implemented. Kela's proposals are due to be submitted in November 2016. The Dutch city of Utrecht is also planning to introduce a basic income, albeit solely for welfare recipients. From next month more than 250 unemployed residents of the city will be given a monthly sum to live on, with researchers monitoring the outcome to determine what effect it has on employment. Switzerland is also considering introducing a national basic income. In September the Swiss parliament voted, with a large majority, for a motion calling on the Swiss people to reject the Popular Initiative for Unconditional Basic Income. However, a nationwide referendum on the issue is slated for 2016 and, according to a recent online poll, 49% of the Swiss would currently vote in favour of its introduction. 
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#5. To: cranky (#0)
(Edited)
This sounds like a rational proposal, eliminate all forms of social security and replace it with an entitlement payment. You could expect Finland to be flooded with immigrants attacted by the thought of a free lunch. It certainly would eliminate all the bickering about who is entitled to what with a reduction in the public service. With the welfare trap eliminated employment may improve but those low paid jobs may boom as they are seen as a supplement to income I wonder has anyone in Finland heard of hyperinflation? This happens when the supply of money exceeds the availability of goods
We've all heard of inflation, and of course this fair tax scheme is inflationary. But so is our income tax nightmare. -- IMHO, this is worth a try, as it might stop (temporarily?) our otherwise inevitable financial collapse/hyperinflation.
#14. To: tpaine (#13)
You only have to worry about income tax when you actually have income and pay it. Not taking the money in the first place by placing a high threshold on income would be a start rather than having a make work system of collections and rebates. What I see is someone just won't let go of the reins and acknowledge that a very large percentage of the population don't actually pay tax, they make a negative contribution
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#13. To: paraclete, Y'ALL (#5)
I wonder has anyone in Finland heard of hyperinflation? This happens when the supply of money exceeds the availability of goods
Replies to Comment # 13. But so is our income tax nightmare
End Trace Mode for Comment # 13.
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