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The @IEJ_SA today releases a seminal policy brief- Designing a Basic Income Guarantee- that has been 3 months in development. It reviews international literature on universal vs targeted grants, & draws key lessons for the design of a #UBIG for S Africa.
iej.org.za/designing-a-ba…
iej.org.za/designing-a-ba…
Key findings include:
•How a BIG is designed is as important as its adoption.
•A key flaw of targeting a specific vulnerable group:it doesn't reach them in practice...due to administrative burdens, unwarranted exclusions, stigmatisation,& changes in eligibility of recipients.
•How a BIG is designed is as important as its adoption.
•A key flaw of targeting a specific vulnerable group:it doesn't reach them in practice...due to administrative burdens, unwarranted exclusions, stigmatisation,& changes in eligibility of recipients.
In contrast, universality minimises these risks while appropriate taxation measures ensure only those in need receive a net benefit.
..modelling shows providing larger grants to fewer people does not necessarily result in improved poverty-alleviating and distributional outcomes.
..modelling shows providing larger grants to fewer people does not necessarily result in improved poverty-alleviating and distributional outcomes.
