3 October 2015, BIEN, SWITZERLAND: Parliament rejects basic income initiative, but poll shows popular support. Last week (Sept 23rd 2015) the Swiss Parliament voted for a motion calling on the Swiss people to reject the Popular Initiative for Unconditional Basic Income. After hours of debate, the National council (the lower house of the Federal Assembly of Switzerland) voted for a recommendation by the ruling party to reject the popular initiative for unconditional basic income after six hours of debate. The motion was passed with a large majority (146 votes), with only a minority of 14 MPs supporting the initiative and 12 abstentions (see the detailed vote report here). “The most dangerous and harmful initiative ever” Basic income was opposed by all political groups, but the harshest critics came from the Centre and Right-wing parties. Sebastian Frehner (Centrist) described the initiative as “the most dangerous and harmful initiative that has ever been submitted,” mentioning the risks of immigration, disincentive to work, and that the basic income proposed would not be financeable anyway. For similar reasons, the Liberal party spokesman Daniel Stolz described the initiative as “intellectually stimulating,” but that it is also a “cocked hand grenade that threatens to tear the whole system to pieces.” His party colleague Ausserrhoden Andrea Caroni spoke of basic income as a “bomb in the heart of our society and our economy.” The most noticeable supporter of basic income was probably the Socialist MP Silvia Schenker who argued that basic income was the answer to the complexity and loopholes of the current welfare system and a better way to integrate the people “who have no place in the world of work.” This was not enough however to convince the Greens and other Socialists. “The Greens support the objectives of the Popular Initiative for an Unconditional Basic Income, but as it stands, it endangers our social system,” said Christian van Singer, spokesperson for the Greens. He argued that while one goal of the initiative is to simplify the social system, “it could level down the benefit system to the detriment of those who do not find work or cannot work.” Read More here
Tag Archives: Economy
2 October 2015, BIEN, UNITED STATES: Leading economists and business people discuss Basic Income at the World Summit on Technological Unemployment. Basic Income was a primary topic of discussion at the World Summit on Technological Unemployment at the Time Life Building in New York City on September 29th, 2015. Basic Income was endorsed at the event by leading economists and business people, including former Labor Secretary, Robert Reich; Nobel Laureate and Columbia economist, Joseph Stiglitz; principal software engineer for Tesla Motors, Gerald Huff; and several others. The conference, a one-day event organized by the World Technology Network, was not directly about basic income. The main topic was the labor market effects of automation, but nearly all of the participants who discussed policy responses to automation endorsed basic income. Most of the participants agreed that automation is a good thing with negative side effects. People lose their jobs; sometimes they can only find jobs and lower incomes; sometimes they do not find new jobs at all. At the rate at which jobs are being automated now many participants were concerned that the need for human labor in the production process is permanently declining. In a world where most people are dependent on their jobs for their livelihood, it can lead either to permanently lower wages or permanent unemployment. Perhaps new technology will always create more demand for labor, but there is no law saying that it must. Harvard President, Lawrence Summers, mentioned the observation by the Nobel Prize winning economist, Wassily Leontief, “The role of humans as the most important factor of production is bound to diminish in the same way that the role of horses in agricultural production was first diminished and then eliminated by the introduction of tractors.” For many of the participants, basic income was the obvious solution. If everyone received an unconditional cash income sufficient to meet their needs, everyone would share in the benefits of automation even if they were unable to find jobs in the new economy. Read More here
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23 September 2015, The Conversation, Sustained economic growth: United Nations mistake the poison for the cure. On September 25 world leaders will meet in New York to formalise the new Sustainable Development Goals. These 17 goals will guide efforts to reduce poverty and increase well-being, without destroying the Earth. The Conversation is looking at how we got here, and how far we have to go. On the surface, the Sustainable Development Goals, soon to be confirmed by the United Nations, seem noble and progressive. They seek to free the human race from the tyranny of poverty and hunger while creating sustainable and resilient societies. But look beneath the surface of this pleasant rhetoric and one comes face to face with a far more ominous vision of development: a vision that is fundamentally compromised by corporate interests and ultimately doomed to failure, if not catastrophe. The defining flaw in the United Nations’ agenda is the naïve assumption that “sustained economic growth” is the most direct path to achieving the Sustainable Development Goals. This faith in the god of growth is fundamentally misplaced. It has been shown, for example, that for every $100 in global growth merely $0.60 is directed toward resolving global poverty. Not only is this an incredibly inefficient pathway to poverty alleviation, it is environmentally unsupportable. By championing economic growth, the Sustainable Development Goals are a barely disguised defence of the market fundamentalism that underpins business-as-usual. But in an age of planetary limits, sustained economic growth is not the solution to our social and environmental ills, but their cause. Read More here
21 September 2015, The Conversation, Creative self-destruction: the climate crisis and the myth of ‘green’ capitalism. The upcoming Paris climate talks in December this year have been characterised as humanity’s last chance to respond to climate change. Many hope that this time some form of international agreement will be reached, committing the world to significant reductions in greenhouse gas emissions. And yet there are clear signs that the much-touted “solutions” of emissions reduction targets and market mechanisms are insufficient for what is required. In our new book, Climate Change, Capitalism and Corporations: Processes of Creative Self-Destruction, we look at reasons why this has come about. We argue that businesses are locked in a cycle of exploiting the world’s resources in ever more creative ways. Innovating environmental destruction. The disconnect between business and climate action was symbolised by the announcement earlier this year that a significant portion of funding for the Paris meeting comes from major fossil fuel companies and carbon emitters; a situation French climate officials admitted was financially unavoidable. While perhaps unsurprising, this announcement hints at a deeper problem we now face — the global economic system of corporate capitalism appears incapable of achieving the levels of decarbonisation necessary to avoid dangerous climate change. Humanity is locked into a process of “creative self-destruction”. Our economies are now reliant upon ever-more ingenious ways of exploiting the Earth’s fossil fuel reserves and consuming the very life-support systems we rely on for our survival. This is evident in the rush by some of the world’s largest companies to embrace deep-water and Arctic oil drilling, tar-sands processing, new mega-coalmines, and the “fracking” of shale and coal-seam gas. These examples highlight both the inventive genius of corporate capitalism, and the blindness of industry and government to the ecological catastrophe they are fashioning. Read More here