[Grundeinkommen-Info] BIEN NewsFlash 40, July 2006

[Yannick Vanderborght]

BIEN - Basic Income Earth Network - NEWSFLASH 40, July 2006
www.basicincome.org
The Basic Income Earth Network was founded in 1986 as the Basic Income 
European Network. It expanded its scope from Europe to the Earth in 2004. 
It serves as a link between individuals and groups committed to or 
interested in basic income, and fosters informed discussion on this topic 
throughout the world.

The present NewsFlash has been prepared with the help of Paul Nollen, 
Margit Appel, Said Bouaissi, Sabrina Del Pico, Benjamin Denis, Jurgen De 
Wispelaere, David Casassas, Sandro Gobetti, Loek Groot, Philippe Lamberts, 
Carlos César Marques Frausino, Philippe Van Parijs, and Karl Widerquist.
This NewsFlash can be downloaded as a 
<http://www.etes.ucl.ac.be/BIEN/Newsletter_ProvisionalFile/BIEN%20NewsFlash.htm>PDF 
document on our website

<http://www.etes.ucl.ac.be/BIEN/Newsletter_ProvisionalFile/BIEN%20NewsFlash.htm>Information 
about copyright
_____

CONTENTS

1. Editorial: New statutes for BIEN

2. BIEN 11th CONGRESS: 2-4 November 2006, Cape Town (SA)

3. First issue of Basic Income Studies

4. Events
*QUEBEC (CA), 12 April 2006: Conference on the guaranteed minimum income
*KYOTO (JP), 7 July 2006: Workshop on "Real Freedom for All".
*FUKUOKA (JP), 11 July 2006: IPSA Congress session on "Ending the Welfare 
State as We Know It? Politics, Citizenship and Welfare Reform"
*FRANKFURT (DE), 14-15 July 2006: Conference on the Crisis of the Work Society
*STOCKHOLM (SE), 19 August 2006: Green Party's Seminar on Basic Income
*NEW YORK CITY (US), 23-25 February 2007: Sixth Annual USBIG Congress
*NEW YORK CITY (US), 6-8 May 2007: The basic income guarantee in 
international perspective

5. Glimpses of national debates
*Austria: basic income network attracts media attention
*Brazil: President Lula receives books on basic income
*Congo: political platform advocates gradual introduction of a basic income
*France: new liberal party has basic income platform
*Germany: Prime Minister of one of the German states proposes a basic income
*European Union: European Greens support EU-wide basic income
*Italy: demonstration for guaranteed income
*The Netherlands: full basic income economically sustainable in Dutch 
official study
*United States: Alaska permanent fund hits new high
*United States : Congressional support for basic income bill doubles

6. Publications
*Dutch
*English
*French
*German
*Italian
*Portuguese
*Spanish

7. New Links

8. About the Basic Income Earth Network
_____

1. EDITORIAL: NEW STATUTES FOR BIEN

BIEN’s executive committee has recently proposed a 
<http://www.etes.ucl.ac.be/BIEN/BIEN/ByLawProposal_August2006.htm>new set 
of bylaws to replace BIEN’s existing statutes. The EC will ask the next 
meeting of the General Assembly to vote on these bylaws in its November 
meeting in Cape Town, South Africa. We welcome alternative proposals or 
proposals for amendments to these bylaws. Anyone wishing to submit such a 
proposal, please make sure to send it to the secretary at least 60 days 
before the General Assembly’s November meeting.
The proposal has been posted on 
http://www.etes.ucl.ac.be/BIEN/BIEN/ByLawProposal_August2006.htm, and can 
also be downloaded as a 
<http://www.etes.ucl.ac.be/BIEN/BIEN/Bylaw-proposal-May%2015-2006.doc>MSWord 
Document.

BIEN's Executive Committee

2. BIEN 11th CONGRESS: 2-4 November 2006, Cape Town (SA)

The Economic Policy Research Institute (EPRI) is hosting the ELEVENTH BIEN 
CONGRESS on 2-4 November 2006 at the University of Cape Town in Cape Town, 
South Africa. All information and forms are available on the website: 
www.epri.org.za (also accessible via www.basicincome.org). Please forward 
any questions to: infobien at epri.org.za

3. FIRST ISSUE OF BASIC INCOME STUDIES

The Editors of Basic Income Studies (BIS), the new international academic 
journal for basic income research, are pleased to announce the publication 
of their inaugural issue. BIS, volume 1, issue 1 has been published in June 
2006 at www.bepress.com/bis.
Abstracts of Research articles can be found in the "Publications" Section 
below.
This issue also includes a "Debate section" devoted to a Retrospective: “A 
Capitalist Road to Communism ­ Twenty Years After”, with a reprint of 
Robert van der Veen and Philippe Van Parijs, “A Capitalist Road to 
Communism”, a new set of comments by G.A. Cohen, Andrew Williams, Doris 
Schroeder, Catriona McKinnon, Harry F. Dahms, and Erik Olin Wright, and two 
new replies by Robert van der Veen and Philippe Van Parijs.
Book reviews are also included in this first issue.
Please note that BIS is constantly on the look-out for research articles 
and book reviews. Please get in touch with the editors at 
bis-editors at bepress.com or the book review editor at 
bis-bookreviews at bepress.com  if you are interested in contributing.
BIS is published by The Berkeley Electronic Press (bepress), sponsored by 
Red Renta Basica (RRB) and supported by BIEN and USBIG.

4. EVENTS

*QUEBEC (CA), 12 April 2006: Conference on the guaranteed minimum income

On April 12, 2006, a big conference on basic income and related schemes was 
organized at the Université Laval (Québec, CA) by the CIRPEE Research 
Network (Centre interuniversitaire sur le risque, les politiques 
économiques et l'emploi). It was attended by more than 150 participants. 
Under the title "Le revenu minimum garanti: solution ou utopie?" ("A 
Guaranteed Minimum Income: realistic or utopian?"), it was aimed at 
discussing the feasibility and desirability of introducing a basic income 
scheme in the Province of Quebec or in Canada.
Yannick Vanderborght (Chaire Hoover - University of Louvain) launched the 
discussion with a presentation of ethical and economic arguments in favour 
of basic income, focusing on some special features of the Canadian and 
Quebecois political debates on the topic. Lionel-Henri Groulx (Université 
de Montréal), author of a recent book on minimum income programmes (see 
NewsFlash 36, November 2005), detailed the history of the guaranteed income 
schemes in Quebec and Canada. Bernard Fortin (Université Laval) presented a 
well-documented and stimulating paper on the complexity of Canada's 
tax-and-transfer system. According to Fortin, a basic income would not only 
help Canadians in simplifying this patchwork, but would also have several 
other advantages over conventional targeted schemes. At the same time, he 
argued, one should underestimate the difficulties in implementing such a 
programme, such as the fact that public opinion has a strong preference for 
in-kind and conditional transfers. François Blais (Université Laval), 
author of an introductory book on basic income, gave a thorough commentary 
on a Manifesto which had been published in Quebec in October 2005. In this 
document, an informal group of prominent intellectuals, including the 
former Prime Minister of Quebec Lucien Bouchard, argued for massive 
investments in education and innovation, a substantial tax reform, and a 
basic income (see NewsFlash 36, November 2005). Blais criticized several 
proposals made by this group for the financing of the basic income scheme. 
Jean-Pierre Aubry (Association des économistes québécois) explained why he 
thought that one should give priority to in-kind transfers. Alain Noël 
(Université de Montréal) dismissed basic income and criticized the idea of 
a "back door strategy" (as advocated by Vanderborght & Van Parijs in their 
introductory book on basic income) to introduce it. Economist Jean-Yves 
Duclos (Université Laval) presented three scenarios for the implementation 
of a basic income in Québec. He insisted on the fact that in designing such 
models economists should always keep in mind the fact that "social justice 
matters". And, he argued, a basic income would no doubt help us in 
realizing social justice in its Rawlsian version. Finally, Gérard Lescot 
(from the Ministry of Employment of the Province of Quebec) explained why 
he was very skeptical on the feasibility of basic income in Quebec. 
Discussions with the audience showed that some participants shared his 
skepticism, while others were strongly pleading for the rapid introduction 
of the scheme in order to cope with Quebec's unemployment and poverty.
Conference Website: 
http://132.203.59.36/CIRPEE/conf-cirpee/revenuminimum12avril06/programme.htm
For further information: Évelyne Joyal <evelyne.joyal at ecn.ulaval.ca>

*KYOTO (JP), 7 July 2006: Workshop on "Real Freedom for All".

A Japanese translation of Philippe Van Parijs's Real Freedom for All 
(Oxford, 1995) was recently completed at the initiative of Professor Reiko 
Gotoh (Institute of Ethics and Frontier Sciences, Ritsumeikan University). 
This provided an opportunity for a workshop on the book and the 
philosophical justification of basic income it claims to provide, attended 
by over sixty people from various Japanese Universities. The keynote 
address by Philippe Van Parijs was followed by comments by Taku Saito, 
Shinji Murakami, Shinya Tateiwa , Reiko Gotoh and Paul Dumouchel 
(Ritsumeikan University, Kyoto) and by Naoki Yoshihara (Hitotsubashi 
University, Tokyo).
For further information: "Reiko Gotoh" <r-gotoh at jcom.home.ne.jp>

*FUKUOKA (JP), 11 July 2006: IPSA Congress session on "Ending the Welfare 
State as We Know It? Politics, Citizenship and Welfare Reform"

A number of half-day special sessions of the 20th Congress of the 
International Political Science Association (IPSA) were reserved for 
initiatives by the Japanese organizers. One of them, conceived by 
Professors Taro Miyamoto and Jiro Yamaguchi (Department of Public Policy, 
Hokkaido University), was devoted to possible futures for the Japanese 
welfare state. The initiative was motivated by the Koizumi Government's 
neo-liberal reform projects in the domain of social policy. Concerned to 
work out an alternative vision for the future, the organizers invited Jonas 
Hinnfors (Göteborg University, Sweden) to present the state and prospects 
of the Swedish model and Philippe Van Parijs (Louvain and Harvard) to 
present the basic income alternative.
The contrast between the two approaches turned out to be less sharp than 
the organizers expected. On the one hand, Hinnfors showed not only that 
basic income elements have long been a core element of the Swedish model 
(universal free education, universal health insurance, universal child 
benefits, universal basic pension independent of each individual's careers) 
but also that this basic income element has been strengthened in recent 
years (higher child benefits, higher minimum level of parental leave 
provisions, etc.). On the other hand, Van Parijs does not advocate 
substituting a generous basic income for all existing welfare state 
provisions, but rather fitting a modest basic income at the basis of every 
person's income and thereby enabling the existing assistance and insurance 
components of the welfare state (with levels appropriately readjusted) to 
perform their specific jobs better than they do now.
In his commentary, Taro Miyamoto emphasized the need to address the 
objection that basic income does not satisfy a plausible minimal condition 
of reciprocity. Harold Wilensky (University of California, Berkeley), 
author of several classic books on social policy, including Industrial 
Society and Social Welfare (1958) was in the audience. He said he was 
personally committed to a universal basic income but could remember being 
given a leaflet advocating a basic income when he first arrived on the 
Berkeley campus as a student in 1940 (!). Why was the idea never 
implemented? Because the electorate, he conjectured, will never support 
upfront redistribution to able-bodied people who choose not to work.
For further information: Taro Miyamoto <miyamoto at imb.me-h.ne.jp>

*FRANKFURT (DE), 14-15 July 2006: Conference on the Crisis of the Work Society

This well-attended two-day workshop on the "Crisis of the Work Society - 
Transformation into a Basic Income Society?" [Krise der Arbeitsgesellschaft 
- Transformation zur Grundeinkommensgesellschaft?] was organized by the 
sociology department of the University of Frankfurt. It consisted partly in 
presentations of interview-based case studies on the experience of 
unemployment and the relationship to paid employment it reveals. The 
workshop itself was coupled with a three-hour public panel discussion on 
the first evening, which attracted an audience of several hundred people. 
The panelists were Ulrich Oevermann (professor of sociology at the 
University of Frankfurt and main organizer of the event), Georg Vobruba 
(professor of social policy at the University of Leipzig and author, most 
recently, of Entkoppelung von Arbeit und Einkommen. Das Grundeinkommen in 
der Arbeitsgesellschaft), Philippe Van Parijs (professor of philosophy at 
Louvain and Harvard and chair of BIEN's International Board), and Götz 
Werner (CEO of the drugstore chain dm, which employs 23.000 people, and 
part-time professor of entrepreneurship at the University of Karlsruhe).

Götz Werner's participation in the panel debate and in the workshop was 
particularly striking. Through his business experience, he first acquired 
the conviction that our tax system would be more fair and more rational if 
it consisted mainly in a consumption tax such as the VAT, be it 
dramatically increased so that social security contributions and personal 
income taxation (both of which rest mainly on labour income) could be 
phased out. But a VAT cannot incorporate an exemption on the lower layers 
of income, and would therefore heavily tax the income of the poor. However, 
it can be coupled with a lump sum refund paid to all, i.e. with a universal 
basic income, functionally equivalent to the basic exemption in an income 
tax system. Not unlike the Belgian industrialist Roland Duchatelet, founder 
of the basic-income-focused party Vivant, he thus hit in the mid-1990s upon 
the proposal of a high basic income (he mentions an amount of 1000 or even 
1500 Euros per month) funded by a dramatically increased Value Added Tax, 
and he has been defending it with gusto since the Spring of 2005, as a 
radical and liberating alternative the Schröder government's 
workfare-leaning reforms known as "Harz IV". As he does not lack humour and 
has a gift for striking formulas, he is an effective communicator. And to 
many ears, no doubt, a plea for basic income sounds more convincing when it 
emanates from someone who provides 23.000 jobs rather than from someone who 
does not have one for himself.

Part of the panel discussion can be viewed on
http://www.grundeinkommen.tv/2006/07/uni-frankfurt-1.htm
For further information on the workshop: Manuel Franzmann 
<M.Franzmann at soz.uni-frankfurt.de>
For further information on Götz Werner's ideas and campaign see 
http://www.unternimm-die-zukunft.de/ or get in touch with André Presse 
<andre.presse at iep.uni-karlsruhe.de>

*STOCKHOLM (SE), 19 August 2006: Green Party's Seminar on Basic Income

The Swedish Green Party is organizing a seminar on basic income in 
Stockholm. By inviting a number of distinguished social scientists the 
organizers hope to stimulate a broad discussion about basic income, against 
the backdrop of general elections in mid-September. Confirmed speakers 
include Carole Pateman, Professor of Political Science at the University of 
California in Los Angeles, and Karl Widerquist, Faculty Fellow at Tulane 
University (New Orleans). The event is an initiative of Carl Schlyter, a 
Green Party Member of the European Parliament. For further information 
contact Valter Mutt, assistant to Carl Schlyter, at: valter.mutt at mp.se.

*NEW YORK CITY (US), 23-25 February 2007: Sixth Annual USBIG Congress

The USBIG Network will hold its Sixth Annual Congress in conjunction with 
the Eastern Economics Association Meeting, February 23-25, 2007, at the 
Crowne Plaza Times Square Manhattan Hotel in New York City. The deadline 
for presentation proposals is Oct 27, 2006. Speakers include Dalton Conley, 
Stanley Aronowitz, and Eduardo Suplicy. Dalton Conley is the director of 
the Center for Advanced Social Science Research and professor of sociology 
and public policy at New York University, and he is the author of Honky, 
Being Black­Living in the Red, and the Starting Gate. Stanley Aronowitz is 
a Distinguished Professor of Sociology at the City University of New York 
and author or editor of twenty three books including, Just Around Corner, 
How Class Works, The Last Good Job in America, and The Jobless Future. 
Eduardo Suplicy is a member of the Brazilian Senate and author of From the 
Distribution of Income to the Rights of Citizenship. The call for proposal 
will be out soon.

*NEW YORK CITY (US), 6-8 May 2007: The basic income guarantee in 
international perspective

Within the framework of the celebration of the 50th anniversary of the 
Wurzweiler School of Social Work, Yeshiva University (New York City), 
Richard Caputo organizes a session on “The basic income guarantee in 
international perspective” . The Conference is scheduled for 6-8 May 2007 
at the Sheraton New York . Interested persons should contact Richard Caputo 
at <caputo at yu.edu>

5. GLIMPSES OF NATIONAL DEBATES

*AUSTRIA: BASIC INCOME NETWORK ATTRACTS MEDIA ATTENTION

Two of Austria´s main daily newspapers reported, among others, about the 
press conference of the Austrian Basic Income Network and the presentation 
of its position paper end of May 2006. One of the headlines was "900 Euro 
for beggars as well as for millionaires", while the other newspaper titled 
"900 Euro without employment. Network urges basic income." This position 
paper will be used in further discussions with political parties, trade 
unions, and NGOs. On October 1st 2006 parliamentary elections will take 
place in Austria. The paper should also be used for the dialogue with all 
initiatives supporting the idea of an unconditional basic income.
The first part of the paper deals with the view of the Austrian BI-Network 
with regard to the current social and economic situation, and the criteria 
for introducing an unconditional BI. The second part of the paper shows the 
difference between the BI and means-tested forms of social security, and 
ends with "first concrete steps" towards an unconditional BI.
For further information: http://www.grundeinkommen.at

*BRAZIL: PRESIDENT LULA RECEIVES BOOKS ON BASIC INCOME

In its first ever published newsletter, the Brazilian Basic Income Network 
(Rede Brasileira de Renda Basica) proudly announces that during a meeting 
with co-Chair of BIEN Eduardo Matarazzo Suplicy on July 3, 2006, Brazilian 
President Luiz Inácio da Silva has been given two new books on basic income 
recently published in Brazil: Suplicy's own Renda Básica de Cidadania. A 
Resposta dada pelo Vento and Vanderborght and Van Parijs' Renda Basica de 
Cidadania. Argumentos éticos e econômicos. During the meeting, Senator 
Suplicy emphasized the fact that President Lula is the first head of State 
in the world that has sanctioned a law that introduces, be it gradually, a 
basic income.
For further information, or to get a copy of this newsletter (in 
Portuguese), please send an e-mail to rendabasicabrasil at uol.com.br

*CONGO: POLITICAL PLATFORM ADVOCATES GRADUAL INTRODUCTION OF A BASIC INCOME

The new "Parti Réformateur pour un Congo Vivant" PRPC-Vivant (see NewsFlash 
39) has launched a new website. Supported by the Belgian-based party 
Vivant, it advocates the gradual introduction of a basic income in Congo. 
The first step would be the implementation of a basic income for women 
under the age of 20, provided they have a certificate from secondary school.
See http://www.vivantcongo.org/index.php

*FRANCE: NEW LIBERAL PARTY HAS BASIC INCOME PLATFORM

On June 10, 2006, a small political party called "Alternative Libérale" 
(Liberal Alternative) has presented its platform in the prestigious 
surroundings of the Institut d'Etudes Politiques (IEP) in Paris. The 
platform includes a strong plea for a "revenu d'existence" (existence 
income), presented as a "bouclier social" (a "social shield"). During the 
meeting, several participants have argued in favour of a basic income.
For further information, see the party's website at 
http://www.alternative-liberale.fr/
The meeting itself can be viewed at 
http://www.alternative-liberale.fr/evenements/060610_Sciences_Po.htm

*GERMANY: PRIME MINISTER OF ONE OF THE GERMAN STATES PROPOSES A BASIC INCOME

Dieter Althaus is a member of the German Christian Democratic Party (the 
party of the federal prime Minister Angela Merkel) and the Prime Minister 
of the Free State of Thuringen (a state of 2.5 million inhabitants in 
former East Germany, with Erfurt as its capital). Under the label 
"solidarisches Bürgergeld" ("solidary citizen's income"), he has been 
proposing on his website since at least July 2006 an individual and 
unconditional basic income of EUR 600 per month for every citizen aged 14 
or more (and EUR 300 per child paid to the parents), coupled with a basic 
health insurance voucher of EUR 200 per person, and funded by an income tax 
of 50% from the first Euro earned (but falling to 25% for higher income 
slices). This citizen's income would be administered in the form of a 
negative income tax. Its amount would be deducted from each person's tax 
liability: if the difference is negative, it is refunded to the citizen; if 
the difference is positive, the citizen pays a reduced amiount in tax. "The 
solidary citizen's income creates social security and reliability for 
everyone, with the result that the market economy is not experienced as a 
threat. The solidary citizen's income and the social market economy belong 
together. Security and freedom are the two faces of a same coin."
For further information, see http://www.d-althaus.de/index.php?id=52 and 
info at d-althaus.de

*EUROPEAN UNION: EUROPEAN GREEN PARTY SUPPORTS EU-WIDE BASIC INCOME

In a resolution entitled "Towards a more Social Europe - Towards more 
Social Justice in Europe", which was adopted at its 4th Council Meeting 
(Helsinki, 5-7th May 2006), the European Green Party advocates the 
development of a basic income scheme at European level. According to this 
document, the European Greens "strongly support the development of European 
union policies in the following domains: (...) Setting a minimum level of 
subsistence or "basic income", taking into account national differences, 
e.g. set as a foxed percentage of the average income in each Member State. 
This could be developed through a system of negative income tax (...). This 
system must however not encourage Member States to keep their social 
protection on this minimum level".
For further information:

*ITALY: DEMONSTRATION FOR GUARANTEED INCOME

On the night of 28 June 2006, 5 to 6.000 people have been walking and 
dancing in the center of the city of Rome, in a demonstration against the 
increasing number of low-paid jobs in Italy. One of the most prominent 
slogans was the claim for "a basic income for all". 15 trucks with sound 
systems played techno, reggae, or disco. Activists took place on the trucks 
to detail the main goals of the protest. All trucks were equipped with 
banners about basic income ("reddito x tutti", "reclaim the money", 
"vogliamo reddito", etc.).
This so-called "Pop Parade" started at 7 pm from Porta San Paolo and went 
to the centre of the city at the Coliseum, where it finished at 1,30 am. 
The parade went through the center, where a lot of low-paid workers are 
employed in pubs, restaurants, hotels, etc.
The parade attracted a lot of media attention, as the culmination of five 
years of demonstration by the low-paid in Italy.
For further information on the Pop Parade, see
http://italy.indymedia.org/
or contact Sandro Gobetti <sgobetti at regione.lazio.it>

*THE NETHERLANDS: FULL BASIC INCOME ECONOMICALLY SUSTAINABLE IN DUTCH 
OFFICIAL STUDY

In March 2006, the Dutch Central Planning Bureau published the study 
Reinventing the Welfare State (downloadable from 
www.cpb.nl/nl/pub/cpbreeksen/bijzonder/60/bijz60.pdf).
The aim of the study is to show how the Dutch welfare state, under the 
threat of globalization and ageing, can be reformed in order to raise 
labour supply and human capital formation under the constraint of 
fulfilment of its key functions (redistribution, risk insurance, 
consumption smoothing). In section 3.3 "Efficient Administration", the 
effects of a basic income are presented. It turns out that an 
individualized BI, against the current social minimum (pitched at 50% of 
the net minimum wage, corresponding to €550 per month), can be financed by 
a flat income tax of around 50%. The bad news, according to the same 
CPB-study is: “Despite its appeal, a basic income is not efficient as a 
redistributive system. The reason is that it fails to comply with the 
targeting principle. Intuitively, a basic income is expensive and requires 
high marginal tax rates across the board. This causes large tax distortions 
on labour supply and human capital formation, which reduce welfare” (p. 68).
The results are based on a rich general equilibrium model (called MIMIC), 
which includes economic theories, institutions (e.g. wage bargaining, the 
Dutch tax and social insurance system) and empirics. 40 different household 
types are distinguished and labour supply elasticities are based on a 
meta-study of the empirical literature. The model is primarily used for a 
comparative-static analysis of different scenarios of reform.
On Friday May 19th, a strong delegation of BI-advocates, among which Paul 
de Beer, Loek Groot, Alexander de Roo and Robert van der Veen, visited the 
CPB to discuss the results with the officials of the CPB. They had the 
feeling that BI, along with other elements of reform like the flat tax 
proposal, was disqualified as a serious reform option because of its 
suboptimality as a redistributive system, while many other effects of BI 
(e.g. privacy) had not been included in the model. Moreover, the purpose of 
the study was to find out which reform packages can increase labour supply 
and human capital formation and not, say, which one is welfare maximizing 
or most redistributive. BI scored bad on both: labour supply decreases 
across the board (e.g. the participation rate of women drops with 10%) and 
the share of high skilled drops by 5% (see Table 3.11 on p. 70 of the 
report). However, compared to the other reform packages (a residual, a 
universal or a diversified welfare state) the BI reform achieves by far the 
best score on income inequality reduction.
For further information: <L.Groot at econ.uu.nl>

*UNITED STATES: ALASKA PERMANENT FUND HITS NEW HIGH

USBIG reports that, according to the Anchorage Daily News, the Alaska 
Permanent Fund’s (APF) value rose above US$35 billion for the first time 
last month. The APF supports the Alaska Dividend program, which provides a 
yearly cash dividend of about US$1000 to every Alaska resident. The fund’s 
managers attribute most of the recent growth to investment in foreign 
stocks, although U.S. stocks and real estate investments have also done 
well. This increase in the fund is apart from the increased tax revenue 
brought to the state by the recent increase in oil prices. This tax revenue 
could leave the state with as much as US$2.4 billion dollars in unexpected 
revenue this year, a portion of which will go into the Permanent Fund. Some 
supporters of the APF model suggest that revenue from taxes on other 
natural resources such as mines, fisheries, and land value should be added 
to the fund.

*UNITED STATES : CONGRESSIONAL SUPPORT FOR BASIC INCOME BILL DOUBLES

On May 2nd, 2006, US Representative Robert Filner (Democrat, California) 
introduced the Tax Cut for the Rest of Us Act of 2006 as House Resolution 
5257. As reported in BIEN NewsFlash 39, this Act would transform the 
standard income tax deduction into a refundable tax credit of US$2000 for 
all Americans who choose not to itemize their deductions.
USBIG reports that, according to Robert Filner, this bill “will not only 
simplify the tax code, but put more money into the pockets of poor 
Americans. For 25 years, refundable tax credits--such as the Earned Income 
Tax Credit (EITC) and the additional child tax credit--have proven to be 
simple, effective ways to help the poor. The logical next step is to 
transform the standard deduction and personal exemptions into a refundable 
Standard Tax Credit (STC) of US$2,000 for each adult and US$1,000 for each 
child. The STC will provide all the poor with a small but badly needed tax 
credit, and give a tax cut to virtually everyone who chooses not to itemize 
their deductions. Transforming the standard deduction into a refundable tax 
credit will not eliminate poverty, but it will be an enormous benefit to 
the poor who were completely overlooked by the Bush tax cuts. The poor pay 
sales taxes, property taxes, and many other taxes, but because they do not 
pay very much in income tax, they have little to gain from tax 
simplification unless it includes something like the STC.”
A second member of Congress, Representative Jesse Jackson, Jr. (Democrat, 
Illinois) has signed on as a co-sponsor of the bill. Al Sheahen coordinates 
an ad hoc group of people who have organized to support the bill. They have 
been lobbying organizations and members of Congress to get behind the bill. 
A political action group called RESULTS has gotten behind the bill and has 
created a way for supporters to email their representatives to urge them to 
support the bill. American citizens who wish to send an email to their 
representative in support of the basic income bill can do so by filling out 
an on-line form at: 
http://capwiz.com/results/issues/alert/?alertid=8777086. People who would 
like to help organize support for the basic income bill may contact Al 
Sheahen at alsheahen at prodigy.net.

6. PUBLICATIONS

*DUTCH

BARREZ Dirk (2006), "Een basisinkomen voor alle Palestijnen?", PALA 
Themabrief 40, 30 mei 2006, available at http://www.globalsociety.be
Free-lance journalist Dirk Barrez is well-known for his advocacy of a 
modest world-wide basic income. In this short article he supports the idea 
of introducing a basic income for all Palestinians. This would be an 
efficient way, Barrez argues, to help at the reconstruction of Palestina's 
economy. Such a basic income scheme would allow foreign governments to 
bring assistance to Palestinian residents without supporting their government.

*ENGLISH

BAMBRICK, Laura (2006), "Wollstonecraft's Dilemma: Is a Citizen's Income 
the Answer?", Citizen's Income Newsletter, Issue 2, 2006.
How should the state incorporate women into its policies? Should it 
recognise them as being different from men? Or should it treat them the 
same as men? This is Wollstonecraft's Dilemma. The male breadwinner welfare 
state encourages gender differences whereas the adult worker model adopts a 
gender-neutral approach. Relying on women's position in either the family 
or in the workforce as a conduit for promoting female welfare has had mixed 
results. Could a Citizen's Income (CI) improve on this? Commentators are 
divided. This paper presents these critiques in an attempt to ascertain the 
potential of a CI to resolve Wollstonecraft's Dilemma. It accepts that 
welfare models are designed to secure more than the right to work in the 
home or labour market. Accordingly, it considers the impact of a CI on each 
of the six normative reasons for providing welfare - to promote autonomy, 
social equality, social integration, social stability, and economic 
efficiency, as well as to prevent poverty - focusing on how this interplay 
might affect women's welfare in particular.
The article can be found at 
http://www.citizensincome.org/resources/newsletter%20issue%202%202006.shtml

HANDLER Joel Handler & Amanda Sheely Babcock (2006), "The Failure of 
Workfare: Another Reason for a Basic Income Guarantee," Basic Income 
Studies: Vol. 1: No. 1, Article 3. Available at: 
http://www.bepress.com/bis/vol1/iss1/art3
There has been a major shift in welfare policies in the developed world 
towards activation, decentralization, and privatization. The 1996 US 
welfare reform welfare for single mother families was no longer an 
entitlement and there were stiff work requirements enforced by sanctions 
and time limits. In Western Europe, although there is variation, welfare 
has become conditional for social assistance recipients – the “socially 
excluded.” Social assistance is administered at the municipal level, which 
contracts with private companies. Caseworkers are supposed to make 
individualized contracts emphasizing work activities. This paper examines 
the field-level data in several US programs and finds that there is a 
symbiotic relationship between governments and contractors; caseworkers, 
whether public or private, focus on process rather than substantive plans; 
government does not question the data; contracts are imposed; the most 
employable are placed; and the most vulnerable are sanctioned or otherwise 
not allowed on welfare. Research in some European countries is showing 
similar results – activation programs are difficult to administer and 
increase the risks for the most vulnerable. Individualized contracts are a 
myth, given administrative constraints and client dependency. The paper 
argues that the difficulties of activation are an additional reason for a 
basic income guarantee. The socially excluded will have an exit option and 
well-being will be improved.

HOWARD Michael W. (2006), "Basic Income and Migration Policy: A Moral 
Dilemma?," Basic Income Studies: Vol. 1: No. 1, Article 4.
Available at: http://www.bepress.com/bis/vol1/iss1/art4
In this paper, the author argues that globalist egalitarians may face a 
dilemma between a generous welfare policy such as a national basic income 
(NBI) for all residents, and an egalitarian immigration policy such as open 
borders, because NBI may have a welfare magnet effect that generates 
pressure for tightening of borders or restricting NBI to citizens only. 
However the case for open borders is weaker to the extent that global 
transfers (such as might occur with a regional basic income or global basic 
income) address the economic inequities and motives for migration. In the 
absence of such global or regional institutions, NBI advocates can justify 
border restriction and a waiting period for BI entitlement, to the extent 
necessary to prevent a worsening of the condition of the least advantaged 
compatriots, as temporary measures on a path toward global justice.

MCDONALD Allan (2006), Do Economists Care? Economics and Social 
Responsibility in the Labour Market, unpublished booklet, 44p.
This booklet includes a series of essays prepared by Allan McDonald for 
OASIS-Australia (Organisation Advocating Support Income Studies in 
Australia), focusing on the implications of the Australian Government's 
Workplace Relations Amendments (Work Choices) Act, 2005. The essays are 
being presented by McDonald to question the continual drive for economic 
growth. "Is this drive for growth seen as a means to an end, or is it seen 
as the end in itself?" It is in the hands of economists, McDonald argues, 
"to determine or to support our long term social objectives". This 
objectives should include a National Dividend.
For further information: allanmcd at keypoint.com.au

VANDERBORGHT Yannick Vanderborght (2006), "Why Trade Unions Oppose Basic 
Income," Basic Income Studies: Vol. 1: No. 1, Article 5.
Available at: http://www.bepress.com/bis/vol1/iss1/art5
In most OECD countries trade unions remain key players in the field of 
welfare state reform. And yet, surprisingly little attention has been paid 
by proponents of a universal basic income (BI) to the very position of 
workers unions on the radical reform that they are advocating. This paper 
tackles this issue in three complementary ways. First, it offers a brief 
overview of the (scarce) literature on basic income and trade unions. 
Second, it focuses on plausible arguments that could be used by trade 
unions to oppose or, alternatively, support a basic income. Finally, 
empirical information collected in Belgium, Canada, and the Netherlands is 
used to test the robustness of the theoretical assumptions. These 
investigations demonstrate that trade unions are far from being natural 
allies of BI advocates within developed welfare states. As evidenced by the 
Belgian case, they can even constitute a significant obstacle to the 
political progression of the idea.

VAN DER VEEN Robert J. van der Veen & VAN PARIJS Philippe (2006) "A 
Capitalist Road to Communism," Basic Income Studies: Vol. 1: No. 1, Article 6.
Available at: http://www.bepress.com/bis/vol1/iss1/art6
This article was originally published in Theory and Society 15 (5), 1986, 
pp. 635–655.

WOMEN'S ECONOMIC JUSTICE PROJECT (2006), Women's Economic Justice Report on 
Guaranteed Livable Income, Victoria (BC): SWAG, 72p.
This report was released on April 29th, 2006, by the Women's Economic 
Justice Project (based in Victoria, British Columbia, Canada). It documents 
over 40 interviews with Canadian women, held between September 2005 to 
April 2006. The aim was to examine several aspects of basic income, with 
particular attention to its impact on women's lives.
The Women's Economic Justice Project also published a short reader called 
"GLI Reader", including quotations from prominent and less prominent 
advocates of basic income.
For comments and further info, please write to Cindy L'Hirondelle, project 
coordinator at clhirondelle at shaw.ca
See also the website: www.pacificcoast.net/~swag

*FRENCH

Special issue of ECOREV' Revue Critique d'écologie politique on the topic 
"Intermittents, jeunes, précarité, banlieue... le revenu social garanti en 
ligne de mire", issue 23 (Summer 2006).
This special issue of the Green magazine ECOREV' focuses on the working 
poor and the problematic situation of French poor suburbs, where riots have 
recently occured. Several authors show how the introduction of a 
"guaranteed social income" could contribute to settle these problems.
For further info: http://ecorev.org

VANDERBORGHT Yannick (2006), ‘Effets anti-redistributifs des dépenses de 
protection sociale’, in R. PELLET (dir.), Finances publiques et 
redistribution sociale, Paris, Economica, 2006, pp.263-277.
This paper mainly focuses on the regressive impact of several fiscal 
transfers that represent a true "Hidden Welfare State". In its conclusive 
section, the author argues for a gradual suppression of anti-redistributive 
tax benefits, in order to finance universal transfers such as child 
benefits or an unconditional basic income.

*GERMAN

FÜLLSACK, Manfred (ed.) (2006), Globale soziale Sicherheit. Grundeinkommen 
- weltweit? (Global Social Security. Basic Income - Worldwide?),  Berlin: 
Avinus.
This Reader deals with the necessities, the difficulties and the 
feasibilities of a global basic income. It discusses problems of weakening 
nation states, of newly emerging transnational political structures, of 
possibilities for financing basic income on a global scale and of 
experiences and discussions about the idea in various countries throughout 
the globe. It contains contributions by Philippe van Parijs (Be), Myron J. 
Frankman (Ca), Gianluca Busilacchi (It), Michael Howard (USA), Eduardo 
Suplicy (Bras), Simon Clarke (UK), John Tomlinson, Simon Schooneveldt, 
Penny Harrington (Aus), Dirk Jacobi (Ger), Nicoli Nattrass (SA), Toru 
Yamamori, Soichiro Tanaka (Jap) and Manfred Füllsack (AT).
For further information: 
http://homepage.univie.ac.at/manfred.fuellsack/gss.html

FÜLLSACK, Manfred (2006), Zuviel Wissen? Zur Wertschätzung von Arbeit und 
Wissen in der Moderne (Too much Knowledge? The appreciation of work and 
knowledge in Modernity), Berlin: Avinus.
The book investigates intrinsic consequences of work and knowledge 
processing in their significance for the possibilities of modern societies 
to appreciate and value its work and its knowledge. It comes to the 
conclusion that not knowledge (and not values in any of their various 
forms), but ignorance (nescience) has to be seen as the relevant factor of 
modern day’s social and economic proceedings and as the phenomenon that 
exerts a powerful stimulus for the detachment of incomes from work as it 
would be implemented by a BI. The book was presented on the occasion of the 
"Summit of Alternative Movements from Latinamerica, the Carrebean and 
Europe", which was held in Vienna on May 11, 2006.
For futher information: 
http://homepage.univie.ac.at/manfred.fuellsack/zuvielwissen.html

KSOE (CATHOLIC SOCIAL ACADEMY OF AUSTRIA) (2005), Grundeinkommen ­ 
Veränderungen begleiten (Eigenverlag)
This publication deals with the impact of an unconditional basic income on 
social work, the education system and other social  “disciplinary powers” . 
It contains contributions by Margit Appel, Andrea Trenkwalder-Egger, Erich 
Ribolits, Max Preglau and others.
For further information: <margit.appel at ksoe.at>

*ITALIAN

VERCELLONE, Carlo (ed.) (2006), Capitalismo Cognitivo. Conoscenza e finanza 
nell’epoca postfordista, Rome: ManifestoLibri, ISBN
This book on cognitive capitalism analyzes the crisis of the fordist model, 
and focuses on the role played by knowledge in the new economy. Its third 
chapter is entirely devoted to a discussion of basic income and related 
schemes ("Trasformazioni della divisione del lavoro e nuove norme di 
distribuzione: il reddito sociale garantito"), with contributions by Andrea 
Fumagalli, Jacopo Mazza et Stefano Lucarelli, Yann Moulier Botang, René 
Passet, Carlo Vercellone
Publisher's website: http://www.manifestolibri.it/vedi_indice.php?id=403
E-mail address of the editor: Carlo.Vercellone at univ-paris1.fr

*PORTUGUESE

SUPLICY Eduardo Matarazzo (2006), Renda Básica de Cidadania. A Resposta 
dada pelo Vento, Porto Alegre: L&PM Editores, 2006.
In this book, Brazilian Senator and co-Chair of BIEN Eduardo Matarazzo 
Suplicy tries to explain why a citizen's income is one of the main ways to 
apply principles of justice towards the eradication of absolute poverty and 
towards improving income distribution to create effective peace conditions. 
The book include the following chapters:
I. From Bolsa Família Program to Citizen’s Basic Income; II. The 
Fundamentals; III. The first proposals of minimum income and of basic 
income; IV. The guarantee of a subsistence income starting in the 20th 
century; V. The creation of BIEN, Basic Income European Network, recently 
transformed in Basic Income Earth Network; VI. The pioneer experience of 
Basic Income in Alaska (United States); VII. A good proposal for the 
democratization and the pacification of Iraq; VIII. The maturing of the 
Citizen’s Basic Income proposal; IX. The Precursors in Brazil; X From 
Minimum Income to Citizen’s Basic Income.
Publisher's website at http://www.lpm.com.br/

VANDERBORGHT Yannick & VAN PARIJS Philippe (2006), Renda Basica de 
Cidadania. Argumentos éticos e econômicos. Rio de Janeiro: Editora Record, 
191p. ISBN 85-200-0660-4
This Brazilian translation of "L'allocation universelle", which was 
originally published in French in 2005, includes a new Preface by co-Chair 
of BIEN and Brazilian Senator Eduardo Matarazzo Suplicy.
Publisher's website: http://www.record.com.br/

*SPANISH

WRIGHT, Erik Olin. "La Renta básica come programa socialista", in 
<http://www.sinpermiso.info>Sin Permiso. Revista semestral (Barcelona, 
Buenos Aires & Mexico DF) 1, May 2006, 145-152.
This first issue of the new international journal Sin permiso, directed by 
Barcelona philosopher Toni Domènech includes a Spanish translation of 
Madison sociologist Erik Wright's argument for a deep connection between 
basic income and the socialist project, duly reconstructed (as presented in 
his address to the 2005 <http://www.usbig.net/>USBIG congress, and 
published in the first issue of <http://www.bepress.com/bis/>Basic Income 
Studies). The title of the journal itself ("without permission") can be 
read as a hint at basic income. It is inspired by a passage in Marx's 1875 
Critique of the Gotha Programme which says that whoever owns nothing but 
his labour power "can work only with the permission of others, i.e. can 
live only with their permission".

7. NEW LINKS

*THE FREE LUNCH
Charles Bazlinton, author of "The Free Lunch", a book focusing on the 
"valuable benefits that flow from gifts of nature or which arise solely 
because society exists" has launched a website exposing his views.
http://www.the-free-lunch.com/

*WIKIPEDIA ON BASIC INCOME
A particularly thorough and well-documented article on basic income, its 
history and the current state of discussion in Germany, has been posted on 
the German version of Wikipedia. See 
http://de.wikipedia.org/wiki/Grundeinkommen

8. ABOUT THE BASIC INCOME EARTH NETWORK

Co-chair:
Eduardo SUPLICY, Federal Senator, Sao Paulo, Brazil
Guy STANDING, Professor of Economic Security, University of Bath, and 
Professor of Labour Economics, Monash University

Further details about BIEN's Executive Committee and International Board 
can be found on <http://www.basicincome.org/>our website, as well as 
further details about the 
<http://www.etes.ucl.ac.be/BIEN/BIEN/Recognized_Networks.htm>Recognised 
National Networks.

MEMBERSHIP

All life members of the Basic Income European Network, many of whom were 
non-Europeans, have automatically become life members of the Basic Income 
Earth Network.
To join them, just send your name and address (postal and electronic) to 
David Casassas  <dcasassas at ub.edu> Secretary of BIEN, and transfer EUR 100 
to BIEN's account 001 2204356 10 at FORTIS BANK (IBAN: BE41 0012 2043 
5610), 10 Rond-Point Schuman, B-1040 Brussels, Belgium. An acknowledgement 
will be sent upon receipt.
BIEN Life-members can become “B(I)ENEFACTORS” by giving another 100 Euros 
or more to the Network. The funds collected will facilitate the 
participation of promising BI advocates coming from developing countries or 
from disadvantaged groups.

B(I)ENEFACTORS:
Joel Handler (US), Philippe Van Parijs (BE), Helmut Pelzer (DE), Guy 
Standing (UK)

BIEN's Life Members:
James Meade (+), Gunnar Adler-Karlsson (SE), Maria Ozanira da Silva (BR), 
Ronald Dore (UK), Alexander de Roo (NL), Edouard Dommen (CH), Philippe Van 
Parijs (BE), P.J. Verberne (NL), Tony Walter (UK), Philippe Grosjean (BE), 
Malcolm Torry (UK), Wouter van Ginneken (CH), Andrew Williams (UK), Roland 
Duchâtelet (BE), Manfred Fuellsack (AT), Anne-Marie Prieels (BE), Philippe 
Desguin (BE), Joel Handler (US), Sally Lerner (CA), David Macarov (IL), 
Paul Metz (NL), Claus Offe (DE), Guy Standing (UK), Hillel Steiner (UK), 
Werner Govaerts (BE), Robley George (US), Yoland Bresson (FR), Richard 
Hauser (DE), Eduardo Matarazzo Suplicy (BR), Jan-Otto Andersson (FI), 
Ingrid Robeyns (UK), John Baker (IE), Rolf Kuettel (CH), Michael Murray 
(US), Carlos Farinha Rodrigues (PT), Yann Moulier Boutang (FR), Joachim 
Mitschke (DE), Rik van Berkel (NL), François Blais (CA), Katrin Töns (DE), 
Almaz Zelleke (US), Gerard Degrez (BE), Michael Opielka (DE), Lena Lavinas 
(BR), Julien Dubouchet (CH), Jeanne Hrdina (CH), Joseph Huber (DE), Markku 
Ikkala (FI),  Luis Moreno (ES), Rafael Pinilla (ES), Graham Taylor (UK), W. 
Robert Needham (CA), Tom Borsen Hansen (DK), Ian Murray (US), Peter 
Molgaard Nielsen (DK), Fernanda Rodrigues (PT), Helmut Pelzer (DE), Rod 
Dobell (CA), Walter Van Trier (BE), Loek Groot (NL), Andrea Fumagalli (IT), 
Bernard Berteloot (FR), Jean-Pierre Mon (FR), Angelika Krebs (DE), Ahmet 
Insel (FR), Alberto Barbeito (AR), Rubén Lo Vuolo (AR), Manos Matsaganis 
(GR), Jose Iglesias Fernandez (ES), Daniel Eichler (DE), Cristovam Buarque 
(BR), Michael Lewis (US), Clive Lord (UK), Jean Morier-Genoud (FR), Eri 
Noguchi (US), Michael Samson (ZA), Ingrid van Niekerk (ZA), Karl Widerquist 
(US), Al Sheahen (US), Christopher Balfour (UK), Jurgen De Wispelaere (UK), 
Wolf-Dieter Just (DE), Zsuzsa Ferge (HU), Paul Friesen (CA), Nicolas 
Bourgeon (FR), Marja A. Pijl (NL), Matthias Spielkamp (DE), Frédéric 
Jourdin (FR), Daniel Raventós (ES), Andrés Hernández (CO), Guido Erreygers 
(BE), Alain Tonnet (BE), Stephen C. Clark (US), Wolfgang Mundstein (AT), 
Evert Voogd (NL), Frank Thompson (US), Lieselotte Wohlgenannt (AT), Jose 
Luis Rey Pérez (ES), Jose Antonio Noguera (ES), Esther Brunner (CH), Irv 
Garfinkel (US), Claude Macquet (BE), Bernard Guibert (FR), Margit Appel 
(AT), Simo Aho (FI), Francisco Ramos Martin (ES), Brigid Reynolds (IE), 
Sean Healy (IE), Maire Mullarney (IE), Patrick Lovesse (CH), Jean-Paul 
Zoyem (FR), GianCarlo Moiso (IT), Martino Rossi (CH), Pierre Herold (CH), 
Steven Shafarman (US), Leonardo Fernando Cruz Basso (BR), Wolfgang 
Strenmann-Kuhn (DE), Anne Glenda Miller (UK), Lowell Manning (NZ), Dimitris 
Ballas (GR), Gilberte Ferrière (BE), Louise Haagh (DK), Michael Howard 
(US), Simon Wigley (TR), Erik Christensen (DK), David Casassas (ES), Paul 
Nollen (BE), Vriend(inn)en Basisinkomen (NL), Christophe Guené (BE), Alain 
Massot (CA), Marcel Bertrand Paradis (CA), NN (Geneve, CH), Marc 
Vandenberghe (BE), Gianluca Busilacchi (IT), Robert F. Clark (US), Theresa 
Funiciello (US), Al Boag & Sue Williams (AU), Josef Meyer (BE), Alain Boyer 
(CH), Jos Janssen (NL), Collectif Charles Fourier (+), Bruce Ackerman (US), 
Victor Lau (CA), Konstantinos Geormas (GR), Pierre Feray (FR), Christian 
Brütsch (CH), Phil Harvey (US), Toru Yamamori (JP), René Keersemaker (NL), 
Manuel Franzmann (DE), Ovidio Carlos de Brito (BR), Bernard De Crum (NL), 
Katja Kipping (DE), Jan Beaufort (DE), Christopher Mueller (DE), Bradley 
Nelson (US), Marc de Basquiat (FR), James Robertson (UK), Infoxoa Rivista 
(IT), Eric Patry (CH), Vianney Angles (FR), Isabel Ortiz (US), Bert 
Penninckx [163].

BIEN's NewsFlash is mailed electronically every two months to over 1000 
subscribers throughout the world.
Requests for free subscription are to be sent to bien at basicincome.org
Items for inclusion or review in future NewsFlashes are to be sent to 
Yannick Vanderborght, newsletter editor, UCL, Chaire Hoover, 3 Place 
Montesquieu, 1348 Louvain-la-Neuve, Belgium, vanderborght at etes.ucl.ac.be
The items included in BIEN NewsFlashes are not protected by any copyright. 
They can be reproduced and translated at will. But if you use them, please 
mention the existence and address of the Basic Income Earth Network 
(including its web site www.basisincome.org) and the exact references of 
the events or publications concerned. Thank you.
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