Ottawa gives P.E.I. a ‘flat-out no’ on guaranteed basic income pilot
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Consider an income guarantee program with an income guarantee of 5,000 and a benefit reduction rate of 40 %. A person can work up to 2,000 hours per year at 10 per hour. a. Draw the person's budget constraint with the income guarantee. b. Suppose that the income guarantee rises to 7,500 but with a 60 % reduction rate. Draw the new budget constraint. c. Which of these two income guarantee programs is more likely to discourage work? Explain. d. Draw a system of smooth indifference curves that b
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MLAs developing a plan for a basic income pilot project on P.E.I. have set out the principles they say should apply if/when basic income is offered on P.E.I. Kerry Campbell spoke with MLA and committee chair Trish Altass to break this all down. Take a look. | CBC Prince Edward Island
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