Interesting Links for 10-10-2012

[andrewducker]

• The Greek message for Angela Merkel
  (tags: austerity greece germany europe finance )
• 50 Years of LED Technology
  (tags: led technology )
• Does the computer mouse face extinction? (Not this week)
  (tags: technology computers mice )
• Could Fast Food Robots Steal McJobs?
  (tags: viaFanf robots restaurant food thefuture )
• More people being

Comments

Citizen's Income

[0olong]

I've been thinking for a long time that this is probably a much better alternative to the likes of JSA - simpler, more efficient, less counter-productive, less dehumanising... I wonder if you could you elaborate on your feeling that it doesn't add up?

Re: Citizen's Income

[andrewducker]

The "not adding up" is purely with regards to the amount of money that's given.

£5,000 is £100/week, which isn't enough to cover housing for a lot of people. If you're going to retain some housing benefit, then that leaves less for the citizen's income. And if that drops much more then it's not actually enough to survive on.

I have a post half-written in my head about this kind of thing, I really need to finish writing it up.

Re: Citizen's Income

[brixtonbrood]

The flat rate per adult is an obvious problem in that a single person will get as much as a lone parent with three teenaged children, unless I missed a bit? (was reading on the move, so that's possible)

Re: Citizen's Income

[andrewducker]

Yup. At the moment you get more if you have kids, or live in an area with expensive housing (via housing benefit). Removing those two factors is going to be bad for anyone with kids in an expensive area!

Not to mention people with disabilities.

Re: Citizen's Income

[ext_208701]

The effect of removing child benefit is huge. Child benefit for a single child is £1055/year after tax income for the first child. If you've one adult and one child that reduces the worse off point from £30k to £18k. Two adults and three children become worse off at a joint salary of roughly £36k.

This is ignoring child tax credits which can be pretty substantial.

Having just made up an example, I've invented a couple with an two full time £12k incomes and three children.

Currently they earn £24k
They receive £2000 in child benefit
They receive £2964 in child tax credit.
They pay £2608 in tax/NI.
Total = £26,356

Under the CI scheme,
They earn £10k of CI
They earn £24k
They pay £9.6k of tax (40%)
Total = £24,400

So that's a pretty nasty after tax income cut for a low earning family.

Re: Citizen's Income

[naath]

Children is resolvable by paying children the CI (perhaps at a reduced rate).