Canadian Politics Today

Yes we have a labour shortage, why do we want to make it worse with a UBI?

We have verified in this article that there is no scientific evidence that confirms that a UBI causes a reduction in the labour supply at a general level, but rather the opposite. We have verified that only in particular cases does a small setback occur due to various causes that, to a great extent, improve individual, family, and general conditions of the economy. All this leads us to firmly deny this objection to the implementation of a UBI, despite the limitations of the methodologies in use.
Although it is not the subject of this systematic review, we have also found positive effects in other labour aspects: The improvement in working conditions in the worst jobs seems related to a greater capacity for labour negotiation; the increase in formal employment for lower jobs, especially if this measure replaces conditional transfers, due to the possibility of combining formal employment and benefit. Changes towards better jobs and entrepreneurship have also been observed. Another aspect of interest is the change in labour demand.