Peter Cooper — Preliminary Observations on Implementing a JIG

I have suggested in recent posts that both freedom and equality would be promoted by ensuring that all individuals: (i) are guaranteed a job if they want one; and (ii) can opt out of paid employment if they wish. The first ideal would be met by a job guarantee and the second by an unconditional basic income scheme. Accordingly, I am in favor of a combined job or income guarantee in which all adult citizens are guaranteed a job and/or basic income as a matter of right. This raises questions about the implementation of such a policy.

Read it at heteconomist.com
Preliminary Observations on Implementing a JIG
by Peter Cooper

Peter Cooper — Guaranteed Income – Viability and Potential

The debate broadens.

Read it at heteconomist
Guaranteed Income – Viability and Potential

by Peter Cooper

Peter Cooper — Free to Live a Good Life

An important aspect of a Basic Income Guarantee, whether implemented in isolation or alongside a Job Guarantee, is the freedom it would give all people to make ethical life choices if they were so inclined. In the absence of an unconditional basic income, anyone who lacks independent means is essentially compelled to seek employment on terms set by employers. Private-sector employers, in turn, cannot be concerned with ethics or morality to the extent that this compromises profit. To indulge in ethical behavior not dictated by law or profit considerations would only see the enterprise lose out to others willing to do whatever it takes to get ahead of the competition. The provision of an unconditional basic income to all would free people to take employment only when, in their view, it served a socially beneficial purpose. This alteration in relative bargaining power could then be expected to encourage more ethical behavior by employers to the extent that workers were attracted to more fulfilling and socially beneficial roles, even when at lower pay than the alternatives.

Read it at heteconomist

Free to Live a Good Life

by Peter Cooper

Now we are getting somewhere, says the philosopher.

Peter Cooper — Response to Warren Mosler

This is a brief response to Warren Mosler’s contribution to a dialogue with Joe Firestone, who has put together an excellent multi-part series that can be read by following the link provided. In this post, I am addressing only the section on the Job or Income Guarantee. Mosler makes the familiar MMT claim that the value of the currency is determined “at the margin”, and from this takes a leap to the conclusion that a BIG as part of the JIG would cause a collapse in the currency, hyperinflation, doomsday, etc.

I don’t see any need to respond in depth, because I have already addressed this argument in a previous post (though not with Mosler in mind) and a few comments. My view is that the MMT conception of the value of the currency being formed “at the margin” is incorrect:

Read it at heteconomist.com

Response to Warren Mosler

by Peter Cooper

White collar workers on charity

Read it a Bloomberg
White-Collar Workers Join Crowd Straining Food Banks

by Patrick Cole

While Americans generosity in providing charitable assistance for those "down on their luck," there is a question as to whether this is the appropriate institutional arrangement, or whether it is more appropriate for government to meet the needs of its people.

Some say that this is properly handled by private charity, whereas others object that this takes advantage of the good hearted and provides a free ride for the stingy, arguing that the burden is social and should be part of public purpose, hence, properly the purview of government.

Peter Cooper — Maybe We Are Going About This Wrong

Read it at heteconomist.com
Maybe We Are Going About This Wrong

by Peter Cooper

Are we asking the right questions wrt the MMT job guarantee proposal? Does it deal with the actual issues and looming challenges? Maybe not.

I've already commented over there as have several regulars here.

Peter Cooper on Currency value as it relates to the MMT JG

I have been reading some of the academic literature on the relative merits of a Basic Income Guarantee (BIG) and Job Guarantee (JG). In the academic literature, a BIG – for example, as proposed by Van Parijs – refers to a policy in which every citizen receives a basic income irrespective of labor force participation or employment status. A JG, as readers here will realize, refers to a guaranteed job at minimum wage for anyone who wants one. In opposition to the BIG, one argument advanced by Modern Monetary Theorists (e.g., here) concerns the value of the currency, which they define as the amount of labor time required to obtain it. In making their argument, however, they reason “at the margin”, somewhat reminiscent of neoclassical analysis. I think this is incorrect for a reason I will discuss.

Read it at heteconomist.com

Currency Value is Not Formed “at the Margin”

by Peter Cooper

Peter Cooper — A JIG May Promote Social Productiveness

Read it at heteconomist.com
A JIG May Promote Social Productiveness

by Peter Cooper

Peter Cooper — The JIG Promotes Freedom

Read it at heteconomist.com
The JIG Promotes Freedom

by Peter Cooper

Peter Cooper — Summary of My Position on the Job Guarantee

Read it at heteconomist.com
Summary of My Position on the Job Guarantee

by Peter Cooper