By William Bourke<\/p>\n\n\n\n
See original post here.<\/a><\/p>\n\n\n\n AUSTRALIA IS HEADED in the wrong direction.<\/p>\n\n\n\n Recent research shows<\/a> that we have reached a stage of shocking inequality. Australia\u2019s wealthiest 20% are now worth 90 times the country\u2019s poorest 20%. Australians of all ages are feeling the pain. In October 2022, a Parliamentary Inquiry<\/a> found the \u201cface\u201d of homelessness is \u2018an older person aged over 55 \u2014 particularly women\u2019<\/em>.<\/p>\n\n\n\n This extreme divide is not due to laziness or \u201cdole bludging\u201d. It\u2019s mainly due to successive federal governments operating a crony form of capitalism, with a range of very deliberate policies that spur wealth inequality and\u00a0\u201cdisproportionately benefit those with the most\u201d<\/em>.<\/p>\n\n\n\n For example, modelling on the distribution of the 50% capital gains tax discount indicates that the top 10% of households by income receive nearly three-quarters of the benefit. Further, the top 1% of taxpayers receive about 14 times<\/a> as much in superannuation tax concessions as the bottom 10% of income earners.<\/p>\n\n\n\n We need big, bold change.<\/p>\n\n\n\n The biggest and boldest change we can strive for right now to claw back some of the excesses of their crony capitalism is an unconditional universal basic income (UBI<\/a>). A UBI is a payment from the state to every citizen with no strings attached, like a \u201ccitizen dividend\u201d for being a \u201cshareholder\u201d in Australia. But the main reason we should introduce a UBI is not our extreme wealth inequality.<\/p>\n\n\n\n To coin a phrase: It\u2019s the environment, stupid.<\/p>\n\n\n\n The environment is the most important reason because it is our life support system. But with a growing number of consumers dependent on the finite and non-renewable resources it provides, we need to take action to lighten our individual and collective footprint.<\/p>\n\n\n\n We need to put our environment first, and therefore allow it to sustain our health, economy and quality of life. That\u2019s where a UBI comes in. There have already been many UBI studies and trials around the world.<\/p>\n\n\n\n Developed world studies show important results including<\/a>:<\/p>\n\n\n\n While these findings may present challenges for some, they should be welcomed. Tapering off our working hours will help us to rebalance our economy and environment. This should lead to a tapering of spending on \u201cstuff\u201d and hence, the overconsumption degrading our planet.<\/p>\n\n\n\n Every Australian should be entitled to a minimum basic income \u2013 or citizen dividend \u2013 of $500 per week, being $26,000 per year (indexed). Importantly, this is not a \u201ccomfortable\u201d income, but a \u201cbasic\u201d income. A UBI would also not replace special needs payments required by some, such as disabled Australians. No Australian welfare recipient would be worse off.<\/p>\n\n\n\n There are around 18 million adult citizens in Australia. At $26,000 per person, you reach a figure of around $470 billion per year. This is affordable.<\/p>\n\n\n\n The benefits of a UBI are so profound that we can only touch on them here.<\/p>\n\n\n\n In no particular order, a UBI will:<\/p>\n\n\n\n No society is perfect and therefore no social system is perfect. There are legitimate questions. Will it be affordable? Will people waste it or drink it away? Will taxes go up for some? Will it be inflationary?<\/p>\n\n\n\n The research shows there is a modest reduction in labour input, as noted above. We should face up to this and understand that this is in our collective best interests. Research also shows no noticeable increase \u2013 and frequently a decline \u2013 in consumption towards \u201ctemptation goods\u201d (such as alcohol).<\/p>\n\n\n\n The short answer is that the sky won\u2019t fall in.<\/p>\n\n\n\n Regarding inflation, the tax and funding mix will be important. Stabilising Australia\u2019s population at the same time will help to offset the significant inflationary impacts on everything of rapid population growth.<\/p>\n\n\n\n Funding a UBI is simply a matter of priorities and here are some of the choices, in no particular order:<\/p>\n\n\n\n When Anglicare<\/a> polled Australians in 2021 on the question \u2018Should every Australian have an income level above the poverty line?\u2019<\/em> 77% supported<\/a> the concept. The COVID pandemic also demonstrated that lifting people above the poverty line was possible and indeed preferable.<\/p>\n\n\n\n An unconditional UBI provides a simple and eloquent foundational step to resolve many of our growing environmental, economic and social problems. We don\u2019t need more trials, as some others propose in Australia. It\u2019s time to go \u201call in\u201d on a UBI. That\u2019s what the Sustainable Australia Party<\/a> is doing. You will soon see \u201cuniversal basic income\u201d on federal election ballot papers.<\/p>\n\n\n\n Everyone has the right to share in the wealth of our country. It\u2019s time to demand your dividend.<\/p>\n\n\n\n What do you think?<\/p>\n\n\n
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How much?<\/strong><\/h3>\n\n\n\n
The main benefits of a UBI<\/strong><\/h3>\n\n\n\n
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What are the cons?<\/strong><\/h3>\n\n\n\n
How do we fund a UBI?<\/strong><\/h3>\n\n\n\n
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Do Australians support a UBI?<\/strong><\/h3>\n\n\n\n