diff --git a/scoping_review.qmd b/scoping_review.qmd index c57ddcc..0e51b18 100644 --- a/scoping_review.qmd +++ b/scoping_review.qmd @@ -861,6 +861,15 @@ For the government benefits, it finds significant variations for the different v The authors suggest this shows the primary channel of the programme becoming a benefit trap, with disability being determined by not working and benefits disappearing when participants enter the labour force, creating dependency to the programme as a primary barrier. Two limitations of the study are its small sample size due to a low response rate, and an over-representation of racial minorities, women and older persons in the sample mentioned as introducing possible downward bias for measured labour force participation rates. + + +@Cieplinski2021 undertake a simulation study on the income inequality effects of both a policy targeting a reduction in working time and the introduction of a UBI in Italy. +It finds that while both decrease overall income inequality, measured through Gini coefficient, they do so through different channels. +While provision of a UBI sustains aggregate demand, thereby spreading income in a more equitable manner, +working time reductions significantly decrease aggregate demand through lower individual income but significantly increases labour force participation and thus employment. +It also finds that through these channels of changing aggregate demand, the environmental outcomes are oppositional, with work time reduction decreasing and UBI increasing the overall ecological footprint. +One limitation of the study is the modelling assumption that workers will have to accept both lower income and lower consumption levels under a policy of work time reduction through stable labour market entry for the results to hold. + ## Structural ### Fiscal growth and trade liberalisation @@ -916,13 +925,6 @@ Additionally, the low income and price elasticity of agricultural products contr Consequently, the authors identify a trade-off between long-term national economic output, adversely affected by the removal of subsidies, and the reduction in rural-urban income ratios facilitated by the subsidies, albeit with diminishing contributions over time. Limitations of the study include the need to assume static national employment and, notably, limited generalizability due to the simulation of specific Chinese structural economic characteristics in the model. -@Cieplinski2021 undertake a simulation study on the income inequality effects of both a policy targeting a reduction in working time and the introduction of a UBI in Italy. -It finds that while both decrease overall income inequality, measured through Gini coefficient, they do so through different channels. -While provision of a UBI sustains aggregate demand, thereby spreading income in a more equitable manner, -working time reductions significantly decrease aggregate demand through lower individual income but significantly increases labour force participation and thus employment. -It also finds that through these channels of changing aggregate demand, the environmental outcomes are oppositional, with work time reduction decreasing and UBI increasing the overall ecological footprint. -One limitation of the study is the modelling assumption that workers will have to accept both lower income and lower consumption levels under a policy of work time reduction through stable labour market entry for the results to hold. - @Go2010 model the effects of a targeted wage subsidy aimed at low- and medium-skilled workers and provided to their employers as an incentive for new job creations, looking at its effects on poverty and income inequality in South Africa. The study finds that, using the Gini coefficient, the overall income inequality reduced by 0.5 percentage points, which provides an insignificant outcome. This primarily occurs because of an overall income redistribution and especially an increase in formal employment for low- and medium-skill workers.