Dieter Althaus

Bio: Dieter Althaus is an academic researcher. The author has an hindex of 1, co-authored 1 publications receiving 16 citations.

An unconditional basic income in the family context : labor supply and distributional effects

Abstract: In this paper we estimate the effects of an unconditional basic income on labor supply and income distribution with a special focus on the incentives to work in the family context. An unconditional basic income guarantees every citizen a minimum ncome without any means-testing. We simulate a proposed basic income reform with a detailed microsimulation model, estimate labor supply reactions with a structural labor supply model and perform distributional analysis using micro data from the German Socio-Economic Panel. As the originally proposed basic income concept yields a very high deficit, we also analyze two budget neutral alternatives. Comparing labor supply and distributional results of the budget neutral alternatives, the well-known equity-efficiency trade-off is unveiled. In the family context our analyzes suggest that the unconditional character of the basic income causes increasing family incomes, but also serious disincentives to work for secondary earners.

Basic Income and Negative Income Tax: A Comparison with a Simulation Model

Abstract: An explicit unconditional basic income linked with a proportional tax rate and corresponding negative income tax schedule are generally thought to produce an equal distribution of incomes. They are so to say mathematically uniform systems. If we try to implement these schedules on an existing system of social transfers and taxes, the results may nevertheless be different. One problem is that taxes are generally calculated on yearly basis but social transfers are paid on monthly or even daily basis. There can be also other differences in the implementation. In this paper a simulation experiment with the Finnish tax and transfer system is presented. Two levels of basic income are defined: a normal basic income for adults over 18 years and a bit higher basic income (basic pension) for pensioners. Two alternative simulations are made: one corresponding to an unconditional basic income model and the other corresponding to the idea of negative income tax. Then the distributional effects and various transfer and income flows are studied.

The likelihood of a basic income in Germany

Abstract: The article discusses whether the likelihood of Germany introducing a basic income policy — that is indepen- dent of labour market participation — has increased in recent years. A brief description of the main elements of the German welfare state is followed by a critical analysis of more recent developments in guaranteeing a basic income, not least with the 2003 merger of unemployment benefits and social assistance. Since then the resulting fears of downward mobility felt even by the middle classes have reignited the 1980's debate about a basic income. Two models (the "basic income guarantee" and the "solidarity citizen's income") are used to discuss practical system design problems and the chances of realizing a basic income policy.

Germany: Far, though Close — Problems and Prospects of BI in Germany

Abstract: Basic income (BI) in a very general sense has been discussed at intervals in Germany since the 1970s, with emphasis being placed on its unconditional dimension since 2003. Despite the stunning attention it has gained due to intense debate, BI has not made it into legislation or legislative initiatives. When I talk about BI, I follow more or less the criteria proposed by the Basic Income Earth Network (BIEN): (1) it is paid to individuals rather than households; (2) it is paid irrespective of any income from other sources; (3) it is paid without requiring performance of any work or the willingness to accept a job if offered. Limitations and constraints of these three criteria are pointed out in the section “Arguments and Debates.” It is because of these criteria that I do not consider Burgergeld (Citizen’s Money, see Mitschke 2000) in my chapter.