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The Basic Income Road to Reforming Iran's Price Subsidies

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  • Tabatabai Hamid

Abstract

Iran has become the first country in the world to provide a de facto basic income to all its citizens. This article reviews the development of the main component of Iran's economic reform plan - the replacement of fuel and food subsidies with direct cash transfers to the population - and shows how a system of universal, regular and unconditional cash transfers emerged almost by default as a by-product of an attempt to transform an inefficient and unfair system of price subsidies. The main features of the cash subsidy system are compared with those of a basic income; then some lessons from this experience are drawn that may enhance the prospects of basic income as a realistic proposition.

Suggested Citation

  • Tabatabai Hamid, 2011. "The Basic Income Road to Reforming Iran's Price Subsidies," Basic Income Studies, De Gruyter, vol. 6(1), pages 1-24, October.
    • Handle: RePEc:bpj:bistud:v:6:y:2011:i:1:n:3
    DOI: 10.2202/1932-0183.1172
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    Citations

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    Cited by:

    1. Segal, Paul, 2012. "How to spend it: Resource wealth and the distribution of resource rents," Energy Policy, Elsevier, vol. 51(C), pages 340-348.
    2. Ralph P. Hall & Robert Ashford & Nicholas A. Ashford & Johan Arango-Quiroga, 2019. "Universal Basic Income and Inclusive Capitalism: Consequences for Sustainability," Sustainability, MDPI, vol. 11(16), pages 1-29, August.
    3. Salehi-Isfahani, Djavad & Mostafavi-Dehzooei, Mohammad H., 2018. "Cash transfers and labor supply: Evidence from a large-scale program in Iran," Journal of Development Economics, Elsevier, vol. 135(C), pages 349-367.
    4. Jitka Špeciánová, 2017. "Základní nepodmíněný příjem co (ne)dokáže zajistit a v čem je jiný? [Unconditional Basic Income - What Can(not) It Guarantee and in What Way Is It Different?]," Politická ekonomie, Prague University of Economics and Business, vol. 2017(5), pages 601-622.
    5. Jim Krane, 2015. "Stability versus Sustainability: Energy Policy in the Gulf Monarchies," The Energy Journal, International Association for Energy Economics, vol. 0(Number 4).

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