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Universal basic income in Portugal: microsimulation of distributional and fiscal effects
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Orientador(es)
Resumo(s)
This paper estimates the first-round effects on poverty and inequality of UBI policies that
replace the current Portuguese welfare system. UBI is often hailed as the superior alternative to
the means-tested programs offered by Western welfare systems, due to its bureaucratic
simplicity and laissez-faire approach. Using the EUROMOD tax-benefit simulator, we estimate
the effects of removing the benefits of non-contributory social programs and implementing UBI
policies ranging in generosity. We find that the current system is progressive when compared to
a budget-equivalent UBI, while more generous UBI policies outperform it. However, we find
trade-offs when considering taxing and financing UBI.
Descrição
Palavras-chave
Welfare system Universal basic income Inequality Poverty Fiscal budget Microsimulation