The Basic Income Guarantee - BIGA

The Basic Income Guarantee is a relatively new discussion subject in Australia. The main idea of it is to give people on welfare enough to get by on said welfare. Sounds like a bloody good idea to me.

Capitalists are also interested in it for Australia. One might ask why, as these are the ones in charge of the system that created the poverty anyway. As it turns out their reasons are simple and what I've long raved about here.

For example, take a community reliant on manufacturing. The company then takes the manufacturing offshore to get it made more cheaply in Asia. They then ship the manufactured product back to Australia and want to sell it to the community that lost all their manufacturing jobs to the likes of China.

Well guess what? Nobody's working because they all got sacked. People are therefor trying to survive on a meager pittance such as Newstart. These people now are much of the community. And they can't afford to buy what's been shipped over from China. In other words they have all this manufactured stuff they can't sell as people are living below the poverty line and can't afford it.

Hence the capitalists are now considering the whole idea of the BIGA. Australian business is already calling for an increase to Newstart.

As the divide between rich and poor widens, as more and more people are thrown out of work because the very nature of their work is no longer required, and as automation takes over from humans in many workplaces, there is no longer a guaranteed growing pool of happy consumers out there with the capacity to....spend. 

In other words, the people who manufacture and sell consumer products and services are starting to look ahead, and they are starting to get a little worried. They are worried because the number of people out there with the spare cash to spend on products and services is starting to decline. 

More and more people are losing their jobs. In fact, despite Government camouflage to the contrary, 60,000 more Australians lost their jobs last year, and they will not get those jobs back. It means that 60,000 more people are now reliant on Welfare Benefits and are no longer in the position to consider any sort of discretionary spending. 

So here’s why the Capitalists and Economists are on the cusp of experiencing their epiphany.... 

They believe in economic growth. For that economic growth to continually roll around and reach ever higher levels the people who manufacture things or supply services require other people to buy those things. Things like televisions, fridges,cars, houses, mobile phones, computers, online media access, holiday units, and airline tickets. more