Crisis, Cuts and Citizenship The Case for a Universal Minimum Income Guarantee Whose Economy? –Seminar Series 17 th  Febru...
What Makes a Good Society?
Crisis, Cuts and Citizenship Who cares? <ul><li>I routinely characterise the credit crunch as 'men behaving badly' - becau...
Counting the Costs?  <ul><li>Child rearing fits uncomfortably within our economic system. Parents provide services of grea...
So What Makes a Good Society?
A Citizens Basic Income A Radical Idea?  <ul><ul><ul><li>A basic income is an income unconditionally paid to all on an ind...
For <ul><li>Integration of the tax/benefit system - ease of administration </li></ul><ul><li>End of poverty and unemployme...
Against <ul><li>Costs? </li></ul><ul><li>Work incentives/disincentives? </li></ul><ul><li>Paying people in exchange for wh...
A CBI and Paid Work  Identifying Bias <ul><li>Arguing for a CBI in this context: </li></ul><ul><ul><li>labour market is pr...
What a CBI  can  do - Not what it  should  do <ul><li>Locating the CBI proposal  </li></ul><ul><ul><ul><ul><li>H istorical...
Moving Beyond Bias <ul><li>A CBI would effectively displace economic necessity to enter into paid work for many individual...
Commodification  v’s  Non Commodification <ul><li>The value attributed to productive activities </li></ul><ul><li>Redistri...
A Radical Proposal?  <ul><li>Reformist or Radical </li></ul><ul><li>A CBI would encourage and support active labour market...
<ul><li>Who was bailed out and why? </li></ul><ul><li>How was the bail out financed? </li></ul><ul><li>Trickle down effect...
 
 
<ul><li>Thank you  </li></ul>
To view all the  papers  in the Whose Economy series click  here   To view all the  videos and presentations  from the sem...
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Crisis, Cuts and Citizenship: The case for a Universal Minimum Income Guarantee - Ailsa McKay

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Professor Ailsa McKay, from the Glasgow Caledonian University, talks about the recent financial crisis and the subsequent cuts.

Stephen Boyd, Assistant Secretary of the Scottish Trade Unions Congress, talks about how the Scottish economy works.

The Whose Economy? seminars, organised by Oxfam Scotland and the University of the West of Scotland, brought together experts to look at recent changes in the Scottish economy and their impact on Scotland's most vulnerable communities.

Held over winter and spring 2010-11 in Edinburgh, Inverness, Glasgow and Stirling, the series posed the question of what economy is being created in Scotland and, specifically, for whom?

To find out more and view other Whose Economy? papers, presentations and videos visit:
http://www.oxfamblogs.org/ukpovertypost/whose-economy-seminar-series-winter-2010-spring-2011/

Published in: Economy & Finance, Technology
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Crisis, Cuts and Citizenship: The case for a Universal Minimum Income Guarantee - Ailsa McKay

  1. 1. Crisis, Cuts and Citizenship The Case for a Universal Minimum Income Guarantee Whose Economy? –Seminar Series 17 th February 2011 STUC
  2. 2. What Makes a Good Society?
  3. 3. Crisis, Cuts and Citizenship Who cares? <ul><li>I routinely characterise the credit crunch as 'men behaving badly' - because it's almost impossible to find a woman to blame </li></ul><ul><li>Robert Peston, BBC business editor </li></ul><ul><li>These crises have arisen out of gendered economic processes, in which women were virtually absent from key sites of decision making in the financial sector; and in which neither private nor public finance was equitably distributed, and failed adequately to address the requirements of women as carers. The impact of these crises is gendered too. </li></ul><ul><li>Diane Elson, 2010 </li></ul><ul><li>Women’s social and economic circumstances make them particularly vulnerable to economic downturn </li></ul><ul><li>Katherine Rake, Fawcett Society Report, March 2009 </li></ul><ul><li>Fawcett Legal Challenge June 2010 – 72% of cuts to be met from women’s income </li></ul>
  4. 4. Counting the Costs? <ul><li>Child rearing fits uncomfortably within our economic system. Parents provide services of great value directly to their children and indirectly to those who benefit greatly from their children’s future contributions. Yet parents receive little or no economic reward. Mothers, tend to pay a higher price for children than fathers do. Partly as a result they typically earn less than men and remain more vulnerable to poverty. </li></ul><ul><li>(Nancy Folbre, Valuing Children, Rethinking the Economics of the Family. 2010) </li></ul><ul><li>And….. </li></ul><ul><li>Osborne buries child benefit: he announced this morning that child benefit would be axed for higher rate tax payers from 2013, with no suggestion that it would be reinstated </li></ul><ul><li>4 th October 2010 </li></ul>
  5. 5. So What Makes a Good Society?
  6. 6. A Citizens Basic Income A Radical Idea? <ul><ul><ul><li>A basic income is an income unconditionally paid to all on an individual basis, without means test or work requirement. In other words, it is a form of minimum income guarantee that differs from those that now exist in various European countries by virtue of the fact that it is paid; </li></ul></ul></ul><ul><ul><ul><li>1. to individuals rather than households; </li></ul></ul></ul><ul><ul><ul><li>2. irrespective of any income from other sources; and </li></ul></ul></ul><ul><ul><ul><li>3. without referring any present or past work performance, or the willingness to accept a job if offered. </li></ul></ul></ul><ul><ul><ul><li>(Phillippe Van Parijs, Arguing for a Basic Income:Ethical Foundations for a Radical Reform , 1992, pp 3-4) </li></ul></ul></ul>
  7. 7. For <ul><li>Integration of the tax/benefit system - ease of administration </li></ul><ul><li>End of poverty and unemployment traps </li></ul><ul><li>An effective anti-poverty strategy? </li></ul><ul><li>Promotes greater choice/opportunity and enhances labour market flexibility </li></ul><ul><li>Yet remains a radical proposal…… </li></ul>
  8. 8. Against <ul><li>Costs? </li></ul><ul><li>Work incentives/disincentives? </li></ul><ul><li>Paying people in exchange for what is ‘perceived’ to be doing nothing is highly unlikely given the value modern society attaches to work. </li></ul><ul><li>This leads to dominant focus in literature on analysing the tve effects a CBI has on labour market participation rates. </li></ul>
  9. 9. A CBI and Paid Work Identifying Bias <ul><li>Arguing for a CBI in this context: </li></ul><ul><ul><li>labour market is primary source of economic and social well being </li></ul></ul><ul><ul><li>preserving the traditional work and pay relationship </li></ul></ul><ul><ul><li>individual welfare best promoted via the structures and processes directly associated with world of paid work. </li></ul></ul><ul><li>Two routes in arguing for CBI </li></ul><ul><ul><li>Commodification Route </li></ul></ul><ul><ul><li>Non-Commodification Route </li></ul></ul>
  10. 10. What a CBI can do - Not what it should do <ul><li>Locating the CBI proposal </li></ul><ul><ul><ul><ul><li>H istorically - established yet heterogeneous tradition of attempts at justifying some form of CBI. </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Contemporary - an alternative to current social security arrangements </li></ul></ul></ul></ul><ul><ul><ul><ul><li>A CBI - an emancipatory measure - ‘real freedom for all’ </li></ul></ul></ul></ul><ul><ul><ul><ul><li>Potential to promote both economic efficiency and social justice </li></ul></ul></ul></ul><ul><li>However </li></ul><ul><li>Debate remains focused on social security reform </li></ul><ul><li>CBI thus considered exclusively with reference to aims, purpose and outcomes associated with income maintenance measures </li></ul>
  11. 11. Moving Beyond Bias <ul><li>A CBI would effectively displace economic necessity to enter into paid work for many individuals? </li></ul><ul><li>Thus work incentives and what counts as ‘work’ focus of supporters of a CBI </li></ul><ul><li>Recognition of ‘value’ of productive leisure activities </li></ul><ul><li>… a society in which those living quietly on their citizen’s income included not only those who would find it difficult to get a paid job, but also a lot of people who have the ability to get a job but choose not to - the budding poet, the passionate bonsai-grower, the hyper-political activist. ( R.Dore ‘A Feasible Jerusalem’ The Political Quarterly 1996) </li></ul><ul><li>Note the modern notion of work? – socially useful leisure? </li></ul>
  12. 12. Commodification v’s Non Commodification <ul><li>The value attributed to productive activities </li></ul><ul><li>Redistribution of ‘work’ from domestic realm to market place </li></ul><ul><li>Those activities that do not fit neatly into the model become undervalued by society in general. </li></ul><ul><li>Individuals pursuing those activities labeled ‘non workers/idlers’ </li></ul><ul><li>The work women do?? </li></ul><ul><li>Provisioning/affiliation/caring - invisible and intangible? </li></ul><ul><li>Retort - Relationships are hard work! </li></ul>
  13. 13. A Radical Proposal? <ul><li>Reformist or Radical </li></ul><ul><li>A CBI would encourage and support active labour market participation but is this how it should be considered? </li></ul><ul><li>Work and income separated or divorced? </li></ul><ul><li>Offers real freedom for all to choose between work and non-work </li></ul><ul><li>The experience of work for many individuals is not necessarily liberating nor welfare enhancing </li></ul>
  14. 14. <ul><li>Who was bailed out and why? </li></ul><ul><li>How was the bail out financed? </li></ul><ul><li>Trickle down effect? </li></ul><ul><li>Quantitative Easing – redistribution? </li></ul><ul><li>Monetary v’s Fiscal Policy </li></ul><ul><li>Pay and Jobs in the Public Sector </li></ul>Caution and Constraint A question of Values?
  15. 17. <ul><li>Thank you </li></ul>
  16. 18. To view all the papers in the Whose Economy series click here To view all the videos and presentations from the seminars click here

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