Labour Markets, Human Resources and Social Policy
The Basic Income proposed by Althaus: Effects in Labor Supply, Distribution and Budget
The Basic Income promoted by
Dieter Althaus (prime minister of the federal state Thüringen) combines several
proposals for reforms of the german tax and transfer system. Elements of this
Basic Income are: e.g. Negative income taxaxtion, a flat tax system, financed rents and the abolishment of
unemployment benefits. The original proposal and variants of it are simulated
and the effects on labor supply, income distribution and the government´s
budget are estimated.
Duration: 01.07.2007 - 31.10.2007
