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Keep On Working: Unconditional Basic Income in the Lab

Listed author(s):
  • Haigner Stefan

    ()

    (University of Innsbruck,Department of Economics, Universitätsstraße 15/3, 6020 Innsbruck, Austria)

  • Höchtl Wolfgang

    ()

    (Austrian National Bank, Banking Inspection Division, Otto-Wagner Platz 3, 1090 Vienna, Austria)

  • Schneider Friedrich Georg

    ()

    (Johannes Kepler University, Linz, Department of Economics (Economic Policy), Altenbergerstrasse 69, 6020 Innsbruck, Austria)

  • Wakolbinger Florian

    ()

    (Johannes Kepler University, Linz, Department of Economics (Public Economics), Altenbergerstrasse 69, 6020 Innsbruck, Austria)

  • Jenewein Stefan

    ()

    (University of Innsbruck, Department of Economics, Universitätsstraße 15/3, 6020 Innsbruck, Austria)

Our real-effort laboratory experiment compares an unconditional basic income (UBI) scheme with conventional systems with and without redistribution, respectively. Participants chose between three options: working for themselves, working for the group, or enjoying leisure. Neither the choice of options nor that of work efforts is sensitive to the transfer scheme even though UBI constitutes a natural reference point for participants’ earnings in our experiment. However, UBI significantly reduced income dispersion at only a small cost in terms of forgone production and budget deficit.

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Article provided by De Gruyter in its journal Basic Income Studies.

Volume (Year): 7 (2012)
Issue (Month): 1 (December)
Pages: 1-14

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Handle: RePEc:bpj:bistud:v:7:y:2012:i:1:p:1-14:n:6
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References listed on IDEAS
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