<div dir="ltr">It's really worth remembering why the labour movement chose for welfare systems that did not target only the 'deserving poor'; the research shows that targetting effectively reduces the political support for such welfare programs, leads to defunding, to a deterioration of the programs and so to a vicious cycle:<div><br></div><div>Very much worth reading in full: <a href="http://theweek.com/articles/601672/just-give-welfare-everyone">http://theweek.com/articles/601672/just-give-welfare-everyone</a></div><div><br></div><div>(otherwise this is a great and recommended report on how freelancers and precarious workers are organizing with the help of unions and coops, and it includes a report on the emerging labour mutuals which bridge the gap between the precariat and the salariat;  <b style="color:rgb(37,37,37);font-family:sans-serif;font-size:14px">* Report: Not Alone. <strong class="gmail-selflink">Trade Union and Cooperative Solutions To Self-Employment</strong>. By Pat Conaty, Alex Bird and Philip Ross. Co-operatives UK, 2016</b></div><p style="margin:0.5em 0px;line-height:inherit;color:rgb(37,37,37);font-family:sans-serif;font-size:14px">URL = <a class="external gmail-free" href="http://www.uk.coop/notalone" style="text-decoration:none;color:rgb(102,51,102);background-color:initial;padding-right:13px">http://www.uk.coop/notalone</a> <a class="external gmail-text" href="http://www.uk.coop/sites/default/files/uploads/attachments/not_alone_-_trade_union_and_co-operative_solutions_for_self-employed_workers_3.pdf" style="text-decoration:none;color:rgb(102,51,102);background-image:url("http://upload.wikimedia.org/wikipedia/commons/2/23/Icons-mini-file_acrobat.gif");background-position:100% 50%;background-size:initial;background-repeat:no-repeat;background-origin:initial;background-clip:initial;background-color:initial;padding-right:16px">pdf</a> )</p><div><br></div><div><br><div><br></div><div>"<span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">Targeting keeps the costs of programs down. As a broader matter of principle or fairness, it's best to avoid giving money to people who don't need assistance. </span><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">But while targeting sounds rational in the abstract, it may be self-defeating in practice.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">"By discriminating in favor of the poor, the targeted model creates a zero-sum conflict of interests between the poor and the better-off workers and the middle classes who must pay for the benefits of the poor without receiving any benefits," sociologists Walter Korpi and Joakim Palme </span><a href="https://campus.fsu.edu/bbcswebdav/institution/academic/social_sciences/sociology/Reading%20Lists/Stratification%20%28Politics%20and%20Social%20Movements%29%20Copies%20of%20Articles%20from%202009/Korpi-ASR-1998.pdf" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">argued</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">in </span><em style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">The Paradox of Redistribution and Strategies of Equality</em><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">. "...The greater the degree of low-income targeting, the smaller the redistributive budget."</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">Poverty can socially mark people in their community and in the public discourse: as lazy, as lacking virtue, as unworthy. But government aid programs that target people in poverty can socially mark them in the same way, precisely because other people who aren't getting the benefits see the people in poverty getting them. As early as 1976, Ronald Reagan was </span><a href="http://krugman.blogs.nytimes.com/2007/11/10/innocent-mistakes/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">telling stories</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> of </span><a href="http://billmoyers.com/2014/02/27/ronald-reagans-racially-tinged-stump-speeches/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">young black men</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> buying steaks with food stamps, and women </span><a href="http://www.npr.org/templates/transcript/transcript.php?storyId=255819681" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">gaming</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> the welfare system. More recently, in 2013, conservative media got ahold of a single anecdote of a man buying lobster with food stamps and </span><a href="http://mediamatters.org/blog/2013/08/13/fox-news-reports-on-snap-binging-losers-and-too/195369" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">beat it into the ground</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">. These sorts of urban legends then </span><a href="http://www.huffingtonpost.com/2013/07/01/food-stamps-resentment_n_3518821.html" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">feed attempts</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> at both the </span><a href="http://www.cbpp.org/research/ryan-budget-would-slash-snap-by-137-billion-over-ten-years" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">federal</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> and </span><a href="http://www.huffingtonpost.com/2015/04/08/missouri-food-stamps_n_7026704.html" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">state</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> </span><a href="http://thinkprogress.org/economy/2015/05/01/3653919/wisconsin-food-stamps-shellfish/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">level</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> to either cut food stamp spending, or </span><a href="http://www.thenation.com/article/why-do-americans-feel-entitled-tell-poor-what-eat/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">hem in</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> its recipients with drug testing and other humiliating restrictions. Work requirements for government aid are also </span><a href="http://www.rasmussenreports.com/public_content/business/jobs_employment/july_2012/83_favor_work_requirement_for_welfare_recipients" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">extremely popular</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">There's even international evidence for this: </span><a href="http://www.vox.com/2016/1/23/10810978/cash-transfer-givedirectly-spillover" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">Studies</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> of two programs that gave direct cash transfers to poor people in Kenya and Malawi found, not surprisingly, that the recipients of the money did better. But the people in the same communities who didn't get any aid showed </span><i style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">decreased</i><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> life satisfaction and spikes in emotional distress.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">In America, race and racism </span><a href="http://www.slate.com/articles/news_and_politics/politics/2016/01/bernie_sanders_political_revolution_depends_on_white_america.html" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">intensifies</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> the effect. Poverty and the programs targeted at the impoverished do not just mark people in general as lesser; they're largely used to mark black Americans specifically, despite the fact that the majority of welfare recipients are white. Poverty and economic deprivation are among the </span><a href="http://theweek.com/articles/573307/end-police-violence-have-end-poverty" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">main</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> </span><a href="http://theweek.com/articles/567495/what-black-lives-matter-gets-wrong-about-bernie-sanders" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">vehicles</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> by which racial injustice is created. White resentment of black Americans was one of the </span><a href="https://www.washingtonpost.com/blogs/plum-line/wp/2014/05/23/yes-opposition-to-obamacare-is-tied-up-with-race/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">central forces</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> of opposition to </span><a href="https://en.wikipedia.org/wiki/Aid_to_Families_with_Dependent_Children" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">traditional welfare (Aid to Families with Dependent Children)</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> and even ObamaCare (which is also </span><a href="http://www.brookings.edu/research/papers/2014/01/potential-effects-affordable-care-act-income-inequality-aaron-burtless" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">heavily targeted</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">at the poorest Americans).</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">Giving people aid through government programs is never just an "economic" act. It's always a social act, too, as well as a political one — and thus an act with social and political </span><a href="http://www.vox.com/2016/1/23/10810978/cash-transfer-givedirectly-spillover" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">consequences</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">. The social and political effects of targeting benefits create resentments that can fracture the political alliances needed to preserve welfare state programs. Targeting winds up defeating itself, because the targeted programs lose support, gain enemies, and become easy political targets for cuts. The welfare state winds up more stingy and redistributing less.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">Because the politically powerless get these targeted benefits, people start to resent them. So politicians cut the programs. Then the programs don't work very well. "Programs for the poor are poor programs," as an old adage goes.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">The answer to the problem is to actively pursue "universalism" — avoid programs that target poorer Americans or that have eligibility cutoffs for people with too much income ("means testing" is the technical term) and instead deliberately distribute government aid across as broad a swath of the population as possible.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">A </span><a href="http://theweek.com/articles/444714/why-reform-conservatives-should-embrace-universal-basic-income" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">universal basic income</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> — which would give the same monthly cash benefit to every man, woman, and child in the country — is the extreme version of this idea. But universalism is an approach, not a policy, and can be pursued to varying degrees. For instance, one could imagine a </span><a href="http://theweek.com/articles/566391/what-hillary-clinton-doesnt-about-women-workforce" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">program</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">that gives the same monthly cash benefit to every family with a child, per child, regardless of income. You could </span><a href="http://mattbruenig.com/2015/07/10/a-basic-welfare-framework/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">extend that framework</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> to the rest of the welfare state as well, with similar programs for every student, every retired person, every disabled person, and every person caring for a disabled or sick person. </span><a href="https://en.wikipedia.org/wiki/Single-payer_healthcare" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">Single-payer systems</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> are an example of universalism in health care.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">The closest America has come to universal programs are things like Social Security and Medicare, which go to everyone over a certain age. And while resentments of the poor in general and African Americans in particular have certainly been used to prevent their expansion (Social Security </span><a href="https://www.washingtonpost.com/news/wonk/wp/2013/06/03/a-second-look-at-social-securitys-racist-origins/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">excluded</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> 65 percent of the black workforce and only 27 percent of the white workforce when it was implemented in 1935, and the gaps weren't closed for almost two decades) there's little evidence from American history that they can fracture universal programs once they're in place. Social Security and Medicare, much to the chagrin of many reformers, are pretty much untouchable in U.S. politics. Meanwhile, politicians </span><a href="http://www.demos.org/blog/1/20/16/are-programs-poor-actually-poor-programs" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">have cut</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">AFDC and other targeted income supports in the last few decades, sometimes severely.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">That's the theory, anyway. The data backing this theory is not airtight, though. When economist Lane Kenworthy </span><a href="http://lanekenworthy.net/public-insurance-and-the-least-well-off/" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">looked across</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> several major western nations, from 1985 to 2005, he found a strong relationship between how big a country's welfare state budget was and how much it reduced inequality. He also found that in 1985, there was a strong relationship between how much a country relied on universal programs and how much it reduced inequality. But by 2005, that relationship had disappeared. How much a country relied on universalism didn't seem to have much effect on how much its programs reduced inequality.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">That said, Kenworthy was working with a small data set. His results largely depended on changes in Denmark and the United States. Denmark has moved from universalism to a more targeted system without becoming any noticeably less generous or redistributive. It still </span><a href="http://www.demos.org/blog/5/4/15/david-brooks-makes-basic-poverty-mistakes" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">spends gobs</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> on its welfare state, and boasts </span><a href="http://www.demos.org/blog/10/20/15/united-states-vs-denmark-17-charts" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">very low levels</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"> of poverty and inequality. The United States, meanwhile, cut its targeted programs (think </span><a href="http://theweek.com/articles/566842/why-paul-ryans-welfare-reform-always-going-dead-end" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">welfare reform</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">) while leaving broad programs like Social Security and Medicare in place. The nature of its welfare state programs became more universal on net, while staying </span><a href="http://theweek.com/articles/553937/americas-social-safety-net-way-skimpy--horribly-designed" target="_blank" style="font-family:minion-pro;font-size:20px;color:rgb(87,136,170);text-decoration:none">extremely stingy</a><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">This led Kenworthy to propose an updated theory: By installing universal systems first, Denmark changed its social character. It created the social and political solidarity that allowed it to target programs more effectively later on.</span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px"><br></span></div><div><span style="color:rgb(51,51,51);font-family:minion-pro;font-size:20px">Achieving that solidarity would likely be much harder in the U.S., given our history of slavery and Jim Crow and white supremacy, not to mention our comfort with inequality. But the story of how this happened doesn't change the effectiveness of universalism as an important strategy toward equality.</span><div class="gmail-content-inside" style="margin-left:0px;width:1200px;max-width:1200px;color:rgb(0,0,0);font-family:"times new roman";font-size:medium"><div id="gmail-article-wrapper"><div class="gmail-full-article gmail-full-article-601672"><div class="gmail-article-body gmail-underline" style="font-size:20px;color:rgb(51,51,51);line-height:30px;font-family:minion-pro;width:600px;margin:0px auto"><div class="gmail-text gmail-underline gmail-drop_caps"><div class="gmail-ad_wrap"></div></div></div></div></div></div><div class="gmail-sticky-social-article-only" id="gmail-sticky-social_601672" style="color:rgb(0,0,0);font-family:"times new roman";font-size:medium"><div class="gmail-sticky-social-inside" style="float:left;width:80px"><div class="gmail-social-call-to-action" style="font-family:proxima-nova;font-size:14px;width:100px;line-height:20px;margin-left:5px;margin-bottom:15px;font-weight:600">SHARE!</div><div class="gmail-social-sticky-buttons"><div class="gmail-first-sticky-button"><span class="gmail-fb gmail-sharrre" style="display:block;background-image:url("/bundles/twsite/images/social_buttons/fb_med.svg");width:60px;height:60px;float:left;background-repeat:no-repeat;background-position:50% 50%;background-size:contain;margin-bottom:10px"></span></div><div class="gmail-second-sticky-button"><span class="gmail-twitter gmail-sharrre" style="display:block;background-image:url("/bundles/twsite/images/social_buttons/twitter_med.svg");width:60px;height:60px;float:left;background-repeat:no-repeat;background-position:50% 50%;background-size:contain;margin-bottom:10px"><div class="gmail-buttons"></div></span></div><div class="gmail-third-sticky-button"><span class="email" style="display:block;background-image:url("/bundles/twsite/images/social_buttons/email_med.svg");width:60px;height:60px;float:left;background-repeat:no-repeat;background-position:50% 50%;background-size:contain"><a href="mailto:?subject=Just%20give%20welfare%20to%20everyone&body=:http://theweek.com/articles/601672/just-give-welfare-everyone" target="_blank" title="Share by Email" style="color:rgb(0,0,0);text-decoration:none;width:40px;height:40px;float:left"><div class="gmail-test"> </div><div><br></div></a></span></div></div></div></div><div><br></div>-- <br><div class="gmail_signature"><div dir="ltr"><div><div dir="ltr"><div>Check out the Commons Transition Plan here at: <a href="http://commonstransition.org" target="_blank">http://commonstransition.org</a>  </div><div><br></div>P2P Foundation: <a href="http://p2pfoundation.net" target="_blank">http://p2pfoundation.net</a>  - <a href="http://blog.p2pfoundation.net" target="_blank">http://blog.p2pfoundation.net</a> <br><br><a href="http://lists.ourproject.org/cgi-bin/mailman/listinfo/p2p-foundation" target="_blank"></a>Updates: <a href="http://twitter.com/mbauwens" target="_blank">http://twitter.com/mbauwens</a>; <a href="http://www.facebook.com/mbauwens" target="_blank">http://www.facebook.com/mbauwens</a><br><br>#82 on the (En)Rich list: <a href="http://enrichlist.org/the-complete-list/" target="_blank">http://enrichlist.org/the-complete-list/</a> <br></div></div></div></div>
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