Considerations on funding UBI in Britain
The RSA (Royal Society for the encouragement of Arts, Manufactures and Commerce) published a discussion paper on UBI. ANTHONY PAINTER outlines some key points here, including some thoughts on funding:
“To fund the ‘Universal Basic Opportunity Fund’ (UBOF), the Government would finance an endowment to cover the fund for 14 years from a public debt issue (at current low interest rates). This endowment would be invested to both fund asset growth and public benefit. The fund could be invested in housing, transport, energy and digital infrastructure and invested for high growth in global assets such as equity and real estate. This seems radical but actually, similar mechanisms have been established in Norway, Singapore and Alaska. In the latter case, Basic Income style dividends are paid to all Alaskans. Essentially, the UBOF is a low-interest mortgage to invest in infrastructure and human growth that brings forward the benefits of a sovereign wealth fund to the present rather than waiting for it to accumulate over time.”
- A new working paper on the Alaska Permanent Fund: "Overall, our results suggest that a universal and permanent cash transfer does not significantly decrease aggregate employment." Link.