Guaranteed basic income for all Canadians would cost $43 billion a year

[Anonymous]

Providing a nationwide safety net for low-income Canadians in the form of a guaranteed basic income would cost roughly $43 billion a year, a new report from Parliament's fiscal watchdog suggests.



The total annual estimated gross cost of the defined GBI (guaranteed basic income) would range between $76 billion and $79.5 billion for the period 2018-2023," the report notes.



"The guaranteed income for disability would range between $3.2 billion and $3.5 billion."



But that doesn't take into account the money already being spent by the federal government on support for low-income Canadians and vulnerable groups, which the PBO estimates at around $32.9 billion a year. A GBI program would replace those supports.



Once you subtract $32.9 billion from the $76 billion in gross GBI spending, the net cost to taxpayers of implementing the guaranteed income plan comes out to $43.1 billion. But it could be even lower if the GBI were administered by the federal government in cooperation with the provinces.



The PBO forecasts that more than 7.5 million Canadians would benefit from a national GBI program. The annual cost per person would range between $9,421 and $10,169 for each of the next five years, the report estimates.



Ontario's pilot model ensures that people or families with no income at all receive the maximum amount (for singles it's $16,989, and for couples $24,027), which is reduced as income from other sources increases.



People lose $0.5 of the basic income transfer for every $1 they make, meaning that anyone with earnings around $34,000 and over doesn't get anything.

https://globalnews.ca/news/4149318/guaranteed-income-43-billion-a-year/">https://globalnews.ca/news/4149318/guar ... on-a-year/">https://globalnews.ca/news/4149318/guaranteed-income-43-billion-a-year/



I am not sure where I stand on the issue. If GBI replaced most existing provincial and federal programs and the civil servants who administer them, I would  support it. But, federal and provincial civil servants will fight that tooth and nail.

[Anonymous]

I thought the idea of a guaranteed income system is that it would replace things such as CPP, OAS and EI federally plus provincial social assistance programs.

[Anonymous]

I thought the idea of a guaranteed income system is that it would replace things such as CPP, OAS and EI federally plus provincial social assistance programs.

There doesn't seem to be much of an appetite for that. I think if is implemented here it will be an additional program and not a replacement for several programs. That is why it's not a saving or even cost neutral.

[Bricktop]

Whilst we debate the fiscal cost, we ignore the social cost.



We create generations of demotivated, lackadaisical, Idle wastes of space. Not just a small segment of society.



An entire society.



That's not how humans are made.

[Anonymous]

Whilst we debate the fiscal cost, we ignore the social cost.



We create generations of demotivated, lackadaisical, Idle wastes of space. Not just a small segment of society.



An entire society.



That's not how humans are made.

I suppose that could  be a consideration too..



But, I doubt the amount would be above subsistence level.

[Anonymous]

I like the idea of a guaranteed income. I mean a real one and not the coffee money Finland calls a guaranteed income.

[Berry Sweet]

Maybe they can spend millions, if not billions and do a time wasting ridiculous "study" about it...

[Anonymous]

Maybe they can spend millions, if not billions and do a time wasting ridiculous "study" about it...

Here is an American study on guaranteed basic incomes.



12-year study looks at effects of universal basic income

https://phys.org/news/2018-01-year-effects-universal-basic-income.html">https://phys.org/news/2018-01-year-effe ... ncome.html">https://phys.org/news/2018-01-year-effects-universal-basic-income.html



I believe Ontario's experiment  with GBI  Is based on a pilot program in Dauphin, Manitoba.

[Anonymous]

Maybe they can spend millions, if not billions and do a time wasting ridiculous "study" about it...

Here is an American study on guaranteed basic incomes.



12-year study looks at effects of universal basic income

https://phys.org/news/2018-01-year-effects-universal-basic-income.html">https://phys.org/news/2018-01-year-effe ... ncome.html">https://phys.org/news/2018-01-year-effects-universal-basic-income.html



I believe Ontario's experiment  with GBI  Is based on a pilot program in Dauphin, Manitoba.

That was 44 years ago.