The impact of basic income on the propensity to work.Theoretical issues and micro-econometric results

L'impact de l'allocation universelle sur la propension à travailler. Enjeux théoriques et résultats microéconométriques

Claude Gamel, Didier Balsan and Josiane Vero ()
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Josiane Vero: CEREQ - Centre d'études et de recherches sur les qualifications - ministère de l'Emploi, cohésion sociale et logement - M.E.N.E.S.R. - Ministère de l'Education nationale, de l’Enseignement supérieur et de la Recherche

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Abstract: In France, there is much debate about "minimum social benefits", and basic income is still perceived as too daring a proposal, in particular because it is believed to encourage idleness. How can we predict how individuals would use this unconditional income? As regards low wage earners, we look first at the uncertainties surrounding the economic theory as to the behavioural changes that this could induce. This is followed by an econometric study of answers given in 2000 by a panel of poorly qualified young adults who had recently become employed : this indicates that the payment of a monthly allowance of 2000 FF (approximately 300 Euros) would not result in a massive withdrawal from work. Integration through employment means more than just receiving a wage, and disconnecting work from income rarely encourages individuals to "experiment" with other types of social integration.

Keywords: integration through employment.; Basic income; labour supply; logit regressions; young employed people; Allocation universelle; offre de travail; estimation de modèles logit; jeunes actifs employés; insertion par le travail. (search for similar items in EconPapers)
Date: 2006
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Published in The Journal of Socio-Economics, 2006, 35, pp.476-497

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Related works:
Journal Article: The impact of basic income on the propensity to work: Theoretical issues and micro-econometric results (2006)
Working Paper: The impact of basic income on the propensity to work: Theoretical issues and microeconometric results (2005)
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