Swiss to vote on 2,500 franc basic income for every adult | Reuters
Eric Nakagawa stashed this in economics
Swiss to vote on a minimum $2,800 per MONTH to all adults. :O
And soon they'll cap executive pay:
In March, Swiss voters backed some of the world's strictest controls on executive pay, forcing public companies to give shareholders a binding vote on compensation.
A separate proposal to limit monthly executive pay to no more than what the company's lowest-paid staff earn in a year, the so-called 1:12 initiative, faces a popular vote on November 24.
So ends free markets in the EU. Europe is full of old-school wealthists without the means or economic mobility to create new wealth. Two things. First there seems to be a zero-sum fallacy that EU falls trap to that the US doesn't. I believe in the "rising tide lifts all boats" theory of the economy.
Second, the US is falling behind in *new* wealth creation, but there are different ways to categorize it.
In the US, capping executive pay is ridiculous. That lowest-paid staff is less than 15x or 100x less valuable to the company and less productive. Cite Sackman, Erikson, and Grant (1968).Plus, if you play the long tail, there's tons of CEOs of small and medium sized businesses that need those incentives to grow into large businesses. These high profile reactionary crap is just in response to the top 1% of 1% of executive pay. But more importantly, not all work is equal. If a company overpays its executives, it's the board's responsibility to make sure it's in line with it's revenues and general company health. Not public governments who have no inner working experience with it. Finally, I wonder how they'll cap pay for movie stars, rock stars, NFL stars, NBA stars, PGA stars, etc.
A city eliminated poverty using a similar technique:
The Swiss government is opposing the basic income initiative so it's going to have a national referendum in 2016:
We've been discussing this in the self-driving trucks post:
Conservative case for basic income:
How basic income will save us from the robot uprising: