Economic consequences of universal basic income during the COVID-19 pandemic

Keywords: UBI, poverty, government support, inflation, gross domestic product, unemployment, employment

Abstract

The article defines the concept of unconditional basic income, studies its features, and analyzes the feasibility of introducing universal basic income and payments to employees and business owners affected by quarantine restrictions during the COVID-19 pandemic in some countries. The experience of different countries that conducted experiments on the introduction of these payments is considered. The positive and negative consequences of experiments on the introduction of unconditional basic income have been identified, as well as the risks of payments to employees and business owners affected by quarantine restrictions have been studied. Characteristic features of unconditional basic income and payments to support the business affected by the introduction of restrictive quarantine measures are formulated. The study identified potential negative changes in the socio-economic life of the state from the use of these tools. The article contains materials of an applied nature, which emphasizes the practicality and necessity of the study of unconditional basic income. Based on the processed material, it is proposed to consider unconditional basic income as a tool of public administration in the field of social protection. The conclusion is made on the prospects of applying the practice of paying universal basic income, as well as the effectiveness of payments to support businesses that have suffered as a result of the introduction of restrictive quarantine measures during the COVID-19 pandemic.

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Published
2021-08-25
How to Cite
Чімишенко, С. М., & Сугак, Т. М. (2021). Economic consequences of universal basic income during the COVID-19 pandemic. Herald of Kyiv Institute of Business and Technology, 47(1), 46-52. https://doi.org/10.37203/kibit.2021.47.04