Monday, March 21, 2011

Letter on Basic Income Delivered to President Obama in Brazil 

While in Brazil this past weekend, President Obama was personally handed the following letter (below) from the US Basic Income Guarantee Network by Brazilian Senator Eduardo Suplicy, in support of a basic income.

The basic income is a progressive public policy that calls for a guaranteed annual income to be provided to all adults as a human right. As Bertrand Russell put it in 1918, "a certain small income, sufficient for necessities, should be secured for all, whether they work or not."

Popular in the US in the 1930s during Louisiana Governor Huey Long's "Share the Wealth" campaign (which helped lead to the creation of Social Security), and as "guaranteed annual income" in the 1960s with the support of Dr. Martin Luther King Jr. and prominent economists such as John Kenneth Galbraith, the basic income is now making a comeback as the Great Recession lingers and economic inequality continues to grow.

Brazil has passed a law to introduce a basic income on a step-by-step basis, starting with the Bolsa Familia program, which provides income to poor families that can prove their children are attending school. The program was profiled in a New York Times story in January entitled To Beat Back Poverty, Pay the Poor.

Sen. Suplicy is a tireless proponent of the basic income and author of the legislation in Brazil. Suplicy met with President Obama in Brazil on Saturday and spoke with the president about the basic income and presented the following letter.

********
Karl Widerquist, Georgetown University-Qatar
Co-Chair (along with Ingrid Van Niekerk), the Basic Income Earth Network
Newsletter editor, the U.S. Basic Income Guarantee Network

March 18, 2011

Barack Obama
President of the United States of America

Dear Mr. President,

I am writing you on the occasion of your visit to Brazil—the first country in the world to approve a law authorizing the phase-in of a full Unconditional Basic Income to the whole population. The law (n. 10,835/2004) was passed by consensus of all parties in the National Congress and sanctioned by President Luiz Inácio Lula da Silva on January 8, 2004. According to the law, Basic Income will be introduced step-by-step, starting with those most in need, through the Bolsa Família Program.

Basic Income is the simple idea of a small, government-ensured income for all citizens. It exists today only in one place: the State of Alaska. For the last 28 years Alaska has distributed a dividend, financed out of oil revenues, to every man, woman, and child in the state. Alaska’s “Permanent Fund Dividend” usually varies between $1000 and $2000 per person per year. It has become one of the most popular state government programs in the United States. It has helped to give Alaska the highest economic equality and the lowest poverty rate of any state in the United States.

Many opportunities exist to introduce a similar program at the federal level. The Cap-and-Dividend and Tax-and-Dividend approaches to global warming include a small Basic Income. The inclusion of this dividend can help counter the argument (used against the Cap-and-Trade approach) that taxes on carbon emissions will hurt average American families.

While in Brazil, you will have the opportunity to exchange ideas about Basic Income with President Dilma Rousseff and the author of the law that created the Bolsa Família, Senator Eduardo Matarazzo Suplicy. He can discuss how the Bolsa Família might be expanded into a true Basic Income and how it might help to attain the main aim of President Rousseff to eradicate absolute poverty and to promote more equality and justice.

I believe that you can improve on the success of the Bolsa Família and the Alaska Dividend by moving toward a Basic Income in the United States. The University of Alaska-Anchorage will hold a workshop entitled “Exporting the Alaska Model” on April 22, 2011. Several researchers will discuss how programs of this type can be introduced and improved. I invite you to send a member of your team to participate in that workshop.

Sincerely,

Karl Widerquist

The U.S. Basic Income Guarantee Network Committee:
Michael Howard (chair), University of Maine; Eri Noguchi, Columbia University; Michael Lewis, Hunter College; Almaz Zelleke, New School; Steven Shafarman, Income Security Institute; Al Sheahen, Author; Fred Block, University of California-Davis; Dan O’Sullivan, RiseUpEconomics.org; Karl Widerquist, Georgetown University-Qatar; Jason Burke Murphy, Elms College.
 
The Basic Income Earth Network Executive Committee:
Ingrid Van Niekerk (co-chair), Economic Policy Research Institute, South Africa; Karl Widerquist (co-chair) Georgetown University-Qatar; David Casassas, Universitat Autònoma de Barcelona, Spain; Almaz Zelleke; The New School, USA; Yannick Vanderborght, Facultés universitaires Saint Louis in Brussels, Belgium; Louise Haagh, University of York, United Kingdom; James Mulvale, University of Regina, Canada; Dorothee Schulte-Basta, BIEN-Germany; Pablo Yanes, Secretary of Social Development, Mexico City, Mexico; Andrea Fumagalli, University of Pavia, BIN-Italia, Italy. Honorary co-presidents: Eduardo Suplicy, the Brazilian Senate; Guy Standing, the University of Bath; Claus Offe, Hertie School of Governance, Germany. Chair of the International Advisory Board: Philippe Van Parijs, Université catholique de Louvain, Belgium.

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