TEST BANK For Corporate Finance, 13th Edition By Stephen Ross, Randolph Weste...
Β
2019 Lueven
1. Do Attitudes towards Universal Basic Income Differ
from Attitudes Towards the Welfare State?
Empirical Analysis in 23 European Countries
Soomi Lee, Ph.D.
slee4@Laverne.edu
Associate Professor, University of La Verne (USA)
Fellow, Center for Research, College of Business and Public
Management, University of La Verne (USA)
Visiting Scholar, University of California, Irvine (USA)
Research Seminar: The Social Legitimacy of Basic Income
University of Leuven, Faculty of Social Sciences
Leuven, Belgium
February 5, 2019
2. 2019 North America
Basic Income Guarantee Congress
β’ Theme: Basic income on the policy agenda
β’ Silberman School of Social Work at Hunter College,
New York City, USA
β’ June 14-15, 2019
β’ Call for participation:
http://usbig.net/congress2019
β’ Submission deadline: February 18, 2019
β’ More information: nabigcongress2019@gmail.com
Lee | University of La Verne 2
3. Goal
β’ Attempt to unravel whether the attitudes towards
work requirements for social benefits, tax fairness,
universalism, and their evaluations on current
social services affect attitudes towards universal
basic income.
Lee | University of La Verne 3
4. ESS 8th round, Basic Income Questionnaire
Some countries are currently talking about introducing a basic income
scheme. In a moment I will ask you to tell me whether you are against or
in favor of this scheme. First, I will give you some more details. The
highlighted box at the top of this card shows the main features of the
scheme. A basic income scheme includes all of the following:
β’ The government pays everyone a monthly income to cover essential
living costs.
β’ It replaces many other social benefits.
β’ The purpose is to guarantee everyone a minimum standard of
living.
β’ Everyone receives the same amount regardless of whether or not
they are working.
β’ People also keep the money they earn from work or other sources.
β’ This scheme is paid for by taxes.
Overall, would you be against or in favor of having this scheme in
[country]?β
Lee | University of La Verne 4
6. Difficult to disentangle what drives public
attitudes toward universal basic income.
β’ The government pays everyone a monthly income
to cover essential living costs.
β’ It replaces many other social benefits.
β’ The purpose is to guarantee everyone a minimum
standard of living.
β’ Everyone receives the same amount regardless of
whether or not they are working.
β’ People also keep the money they earn from work
or other sources.
β’ This scheme is paid for by taxes.
Lee | University of La Verne 6
7. Traditional welfare
βbenefitsβ
Universal basic income
Cash and in-kind Cash
Conditional Unconditional
Means-tested Universal
Temporary Permanent
Comparing Traditional Welfare
Programs and Universal Basic Income
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8. Research Question
β’ Are the theoretical difference reflected in
public attitudes toward universal basic
income (UBI)?
β’ In other words, do attitudes toward universal
basic income differ from attitudes toward
redistribution?
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9. Testing Hypotheses
β’ Conditionality vs. unconditionality
β’ People who support unconditionality are more likely to
support UBI. (+)
β’ It is unclear whether unconditionality is associated with
support for governmentsβ role of income redistribution.
β’ Targeting the poor vs. universalism
β’ People who believe that social services are only for the
low income are less likely to support UBI. (-)
β’ It is unclear whether unconditionality is associated with
support for governmentsβ role of income redistribution.
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10. Data
β’ European Social Survey, 8th round, 2nd edition.
β’ Total observations: 44,387 respondents.
β’ 23 countries in Europe
β’ Observations = [880(Iceland), 2,757 (Ireland)]
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11. Dependent variables
β’ Attitudes toward redistribution:
β’ Governmentβs responsibility in reducing an income gap
β’ Ordinal scale from 1 (oppose) to 5 (support). (3=neutral)
β’ Attitudes toward universal basic income:
β’ Ordinal scale from 1 (oppose) to 4 (support). No neutral
position given. Donβt know and refusal allowed.
β’ Notice the difference in scales.
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19. Micro-level Analysis
β’ Goal: Estimate the effects of perceptions on
unconditionality and universalism on redistribution
and universal basic income.
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20. Equation 1:
π ππππ π‘ππππ’π‘πππ = πΌ1 + π½1 π’πππππππ‘πππππππ‘π¦ + π1 π’πππ£πππ ππππ π + πΎβ²
π + π1
Equation 2:
ππ΅πΌ = πΌ2 + π½2 π’πππππππ‘πππππππ‘π¦ + π2 π’πππ£πππ ππππ π + πΏβ²
π + π2
Error term correlation:
when ππππ(π1, π2) β 0 , (1) and (2) are related.
when ππππ(π1, π2) β 0 , (1) and (2) are truly unrelated.
Seemingly Unrelated Regression (Zellner 1962;
Zellner and Huang 1962; Zellner 1963)
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25. That do all these results mean?
β’ Suggestive evidence that people support basic
income as a social assistance policy within the
traditional redistributive framework.
β’ Next step: Generalized structural equation models
to properly accommodate the ordinal nature of the
dependent variables, the multi-level feature with
varying slopes, and systems of equations.
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