Envy and Blame in the UBI Discussion

Abstract

Envy and blame are two concepts that add social preferences to the economic behavior model of homo economicus. These have already been studied in general distributional issues as well as in the Edgeworth box. Building on this, these social preferences are examined specifically in the work-leisure model and applied to the example of a UBI. Here it is shown that envy is rather triggered by different endowments of individuals and blame only by different preferences. In the discussion about a UBI, this insight provides clarity about the normative basis of arguments against “free riders”. In terms of constitutional economics, envy can be combated through equality of opportunity, while blame can be contained through paternalism, at the expense of freedom of action.