Problem
AI and robotics will replace human jobs sooner or later.
Solution
Basic income to secure financial stability for everyone.
How can this be funded?
The modern approach to money and public finance offers the perspective of a basic income for all and serves as an alternative to the traditional view, which is stuck in outdated stereotypes about the functioning of money and public finances.
Money circulation
Government spending injects state money into circulation
Unlike households and firms, governments do not need revenues (taxes or borrowings) to spend.
Governments create state money (USD, GBP, JPY, CZK, etc) by spending it into existence through "keyboard strokes" out of thin air.
Effective circulation of money is essential for fueling a healthy Basic Income Economy (BIE).
Private entities inject non-state money into circulation
Unlike households and firms, private entities do not need revenues (fees) to distribute a cryptocurrency.
Private entities create non-state money in the form of cryptocurrencies. They bring these currencies into existence through automated codes out of thin air.
Taxes and government bonds remove state money from circulation
People prefer state money over private money due to the need to pay mandatory taxes, which generates demand for state money.
Money is the "tax credit" that can be used to pay taxes.
Taxes return state money (tax return) from circulation, and government bonds sold to people as well.
Fees and private bonds remove non-state money from circulation
Crypto projects need to stimulate demand for their cryptocurrencies among people and devise mechanisms for their removal from circulation.
Fees and private bonds, sold for cryptocurrencies, can be utilized to remove these cryptocurrencies from circulation.
Real constraint
The amount of money in circulation is constrained by the productive capacity of the economy.
Governments can spend without the need for taxes or borrowings,
Cryptocurrencies can be injected freely and securely into circulation,
provided that they respect the real constraint imposed by the productive capacity of the economy.
State money
Non-state money
Also dvelve into the Modern Money Theory, an enlightening resource that traces the origins of money and its circulation patterns.
"Historians now believe that we invented writing to keep track of debts and money circulation in communities."
"Historians and numismatists find no evidence that money arose in a barter, coin, commodity or market-exchange context, despite the repeated use of this story in Economics 101 textbooks!"
"Money is best thought of as a social and legal institution that societies create to serve the needs of their communities: the people are not servants of the monetary system or the markets we design around it."
“Can we build a national high speed rail system? The answer isn’t whether we have enough money but whether we have enough engineers, construction workers, raw materials, and knowledge of the technology to design and build such a system."
OUR STORY
There is money for basic income!
Can we fund a basic income for everyone? The answer isn't whether we have enough money (yes, we do!) but whether business can produce enough food, products, and services to satisfy the basic needs and maintain a dignified life for everyone.
With the ongoing advancement in technology and the increasing integration of AI and robots, businesses' productivity accelerates. They can produce enough food, products, and services to satisfy everyone's basic needs and maintain a dignified life for all.
Business can produce enough to satisfy basic needs!
Learn from Balance Sheets!
We primarily concentrate on the creation and reduction of state money by governments and non-state money by private platforms, in light of our focus on basic income. However, it's crucial to recognize that banks also significantly contribute to the creation and reduction of state money.
We invite you to explore all three distinct processes: (1) state money overseen by banks, (2) state money managed by governments, and (3) non-state money handled by private platforms. Throughout these processes, you'll gain insights into the mechanisms behind money circulation and the funding of basic income, all of which are illustrated in detail through balance sheets.
Explore further on our
BIE evangelists
Come together with us to explore and exchange thoughts on the basic income economy.
Ivana Antalová
Earned an M.Sc (Ing.) in Technology from Tomas Bata University. Ivka has extensive experience in various roles, including as a Financial Manager, Human Rights Lobbyist, Director of the Union of Midwives, and City Councilor for Social Affairs and Accessibility in Prague 1.
