The Economics of Basic Income
This IPR research project will examine the economics of Basic Income, including the interaction between technology, output GDP, consumer income and expenditure.
This project examines the scope for basic income as a necessary element of macroeconomic demand management. From empirical economic data, the research will test the hypothesis that in high technology economies, productivity causes wages and hence consumer income to become deficient against output GDP, requiring increased unearned or basic income.
Basic income will be compared to other sources of unearned income, including welfare benefits for its relative effectiveness in combating unemployment and poverty traps, and to increased consumer credit and household debt for its relative effectiveness in avoiding economic crisis.
A parallel theme of the research will test the hypothesis that public sector deficit becomes inevitable in high technology economies, and that deficit can be replaced in a coherent economic model with debt free fiat money to fund basic income.
This project has been set-up in collaboration with Geoff Crocker from Basic Income Forum.