Guaranteed Basic Income Would Reduce Poverty, but Lower Incentive to Work: PBO Analysis

A nationwide guaranteed basic income would cut poverty rates in Canada by half, but would come at the expense of working individuals, according to an analysis by the parliamentary budget officer (PBO). The PBO said several parliamentarians requested an analysis of the impacts of launching a national guaranteed basic income (GBI), which would provide each Canadian with a minimum income with no strings attached. According to the analysis, a GBI would reduce the poverty rate by 49 percent in 2022 on a national level. It would would vary across provinces, with poverty reduction most notable in Manitoba and Quebec. Budget officer Yves Giroux said the impact of GBI on disposable household income is progressive, with those in the lowest income quintile benefiting the most, seeing an average amount of $4,535 (a 17.5 percent increase). Households in the third, fourth, and fifth quintiles would see a decrease in their average disposable income, …
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Canada News | The Epoch Times