Richard K. Caputo: Basic Income Guarantee and Politics

Behavioral Economics and The Basic Income Guarantee

This article provides a critical discussion of the potential contributions behavioral economics makes to the idea of a Basic Income Guarantee (BIG). Behavioral economics suggests that the consequences of a basic income may be significantly different from the ones predicted by the Standard Economic Model. Three topics from this literature are analyzed and linked to the BIG idea: Prospect Theory,...

An Experimental Study of Basic Income Guarantee

In this paper we show economic analysis of Basic Income Guarantee (BIG), which guarantees a constant income for each individual regardless of ages, gender, or any geographic characteristics. We address moral hazard and adverse selection problems that may arise in BIG scheme. As for moral hazard problem, we compare Negative Income Tax (NIT) with BIG. in the laboratory experiment. In a setting wh...

Sex Work, Technological Unemployment and the Basic Income Guarantee

Is sex work (specifically, prostitution) vulnerable to technological unemployment? Several authors have argued that it is. They claim that the advent of sophisticated sexual robots will lead to the displacement of human prostitutes, just as, say, the advent of sophisticated manufacturing robots have displaced many traditional forms of factory labour. But are they right? In this article, I criti...

A comparison of the macroeconomic consequences of basic income and job guarantee schemes

Income drawdown option with minimum guarantee

This paper deals with a constrained investment problem for a defined contribution (DC) pension fund where retirees are allowed to defer the purchase of the annuity at some future time after retirement. This problem has already been treated in the unconstrained case in a number of papers. The aim of this work is to deal with the more realistic case when constraints on the investment strategies a...