Basic Income: Opportunity or Problem?

Abstract

There has been an increase in debate over universal basic income in recent years, mostly related to the different welfare measures introduced in relation to the COVID-19 pandemic around the world, and because of the increasing relevance of labor market automation. In this study, our objective is to evaluate the attitudes of Hungarian citizens towards basic income, with a focus on its feasibility, as well as positive and negative effects. In order to accomplish this, we analyzed relevant international literature to draw up a questionnaire from studies, while also looking at background variables that potentially influence an individual’s attitude towards basic income. Results show that Hungarian citizens rather disagree about the feasibility of a basic income scheme in Hungary but they are a lot more agreeable with the EU-s capability to provide one (18.4% compared to 52%, respectively. Regarding its possible positive impacts, the most frequently mentioned items include reducing anxiety about financing basic needs, helping people return to education, and offsetting the effects of automation, while concerns about the idea of not being researched and tested enough, its effects on inflation, and its possible work-discouraging nature were listed as the most relevant negative effects.