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Statements

Subject Item
dbr:Wage_subsidy
rdfs:label
Wage subsidy
rdfs:comment
A wage subsidy is a payment to workers by the state, made either directly or through their employers. Its purposes are to redistribute income and to obviate the welfare trap attributed to other forms of relief, thereby reducing unemployment. It is most naturally implemented as a modification to the income tax system. The wage subsidy differs from universal basic income (UBI) in being limited in its scope to workers in paid employment, and does not generally seek to take the place of other benefits.
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dbo:abstract
A wage subsidy is a payment to workers by the state, made either directly or through their employers. Its purposes are to redistribute income and to obviate the welfare trap attributed to other forms of relief, thereby reducing unemployment. It is most naturally implemented as a modification to the income tax system. The wage subsidy was proposed by A. C. Pigou in his 1933 book The Theory of Unemployment. It was subsequently advocated by American economists Edmund Phelps and Scott Sumner, by American policy advisor Oren Cass, and by British economist Tony Atkinson under the name of participation income. The wage subsidy differs from universal basic income (UBI) in being limited in its scope to workers in paid employment, and does not generally seek to take the place of other benefits.
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