Universal basic income model and it's applicability in Turkey

The idea of Universal Basic Income (UBI) dates back to Ancient Greece, although its name has been used in different ways. Despite the fact that this idea came to the fore at certain times, it has never been fully implemented. Notwithstanding the world is at a point in which it can produce the goods and services necessary for the people living on it to lead a prosperous life with the increase in productivity and economic activities, the problem of poverty and income inequality still exists. It is thought that these problems will increase with the robotization and artificial intelligence innovations that have emerged with the technological advances in recent years. The idea of UBI has emerged in recent years as a very important policy alternative in the context of issues such as the effectiveness of combating poverty, the ineffectiveness of primary income distribution, and the insecurity of individuals without savings and income, against natural and social crises such as the pandemic. In this context, as we mentioned in our study, researches are carried out on the applicability and economic effects of the UBI, and many countries are trying to determine the effects of the this policy change with pilot experiments. In our study, the development of the concept of UBI and the debates around the concept were discussed in the economic context, and the applicability of UBI in Turkey was examined. By calculating the possible effects of 5 different scenarios designed for Turkey on income distribution and poverty, the financial burden of these scenarios was calculated. It was also discussed what could be used as a resource if an UBI was applied. Considering the current economic conditions of Turkey, although the UBI as a system that can produce significant results on income distribution and poverty, it is unlikely to be implemented in the short term. However, applicability of the ETG model will be possible with a permanent improvement in basic macroeconomic indicators and an effective design of the tax system, social assistance and public expenditures in the long term.