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The Revenue Side of a Universal Basic Income in the EU and Euro Area

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  • Joze Mencinger

    (University of Ljubljana, Faculty of Law)

Abstract

This paper tries to answer the question of whether universal basic income on the European level is a realistic option or an illusion. As UBI implies a much larger EU budget and a redistribution of collected budget revenues, the chance of introducing UBI depends on the required redistribution – the larger the redistribution, the lower the chance. The chance is indirectly assessed by an exercise in which 50 percent of actual tax revenues generated by indirect taxes of member states is collected at the center and distributed equally to all citizens. Though the net costs to the rich are relatively modest, the results indicate that the idea of introducing UBI on the European level is an illusion.

Suggested Citation

  • Joze Mencinger, 2015. "The Revenue Side of a Universal Basic Income in the EU and Euro Area," DANUBE: Law and Economics Review, European Association Comenius - EACO, issue 3, pages 159-174, September.
  • Handle: RePEc:cmn:journl:y:2015:i:3:p:159-174
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    References listed on IDEAS

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    1. Konrad, Kai A. & Zschäpitz, Holger, 2011. "The Future of the Eurozone," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 12(2), pages 46-49.
      • Kai A. Konrad & Holger Zschäpitz, 2011. "The Future of the Eurozone," CESifo Forum, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 12(02), pages 46-49, July.
    2. Gilroy Bernard Michael & Heimann Anastasia & Schopf Mark, 2013. "Basic Income and Labour Supply: The German Case," Basic Income Studies, De Gruyter, vol. 8(1), pages 43-70, July.
    3. Zwolinski Matt, 2012. "Classical Liberalism and the Basic Income," Basic Income Studies, De Gruyter, vol. 6(2), pages 1-14, January.
    4. Munger Michael C., 2012. "Basic Income Is Not an Obligation, But It Might Be a Legitimate Choice," Basic Income Studies, De Gruyter, vol. 6(2), pages 1-13, January.
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    Cited by:

    1. Mencinger Jože, 2017. "Universal Basic Income and Helicopter Money," Basic Income Studies, De Gruyter, vol. 12(2), pages 1-8, December.
    2. Fischer Yannick, 2020. "Basic Income, Labour Automation and Migration – An Approach from a Republican Perspective," Basic Income Studies, De Gruyter, vol. 15(2), pages 1-034, December.

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