The idea of an unconditional basic income sounds like socialism -- the state taxes, the state distributes, the citizen receives. This reflex is understandable, but it overlooks a crucial alternative: Switzerland does not need a redistribution machine. It needs a model that suits the country -- decentralised, cooperative, self-reliant.
The answer is not a state transfer. The answer is a citizens' dividend.
The idea is neither new nor left-wing.
The Nobel laureate and father of monetarism proposed the negative income tax: anyone below a threshold income not only pays no taxes but receives a payment from the state. No means testing, no bureaucracy, no social worker. Friedman did not want to expand the welfare state but to abolish it -- and replace it with a simpler, market-compatible system [1].
The other great liberal of the 20th century endorsed a basic income for the same reason: it creates freedom from the state, not dependence. A minimal safety net that requires no bureaucracy and imposes no behavioural conditions [2].
Alaska -- one of the most conservative US states, deep-red Republican -- has operated the Alaska Permanent Fund since 1982. The oil industry pays licence fees into a sovereign fund that today manages over 80 billion dollars. Every resident of Alaska receives an annual dividend -- in 2022 it was 3,284 dollars per person [3].
No politician has ever seriously proposed abolishing the fund. It was established by a Republican governor and is the most popular programme in the state. It is not social welfare. It is co-ownership of the nation's value creation.
The Norwegian Government Pension Fund Global -- the largest sovereign wealth fund in the world with over 1.7 trillion dollars -- is fed by oil and gas revenues and belongs to the Norwegian people [4]. It invests globally in equities, bonds and real estate. Norway is not socialist. It is one of the most competitive countries in the world, with a thriving private sector. The fund is not an instrument of redistribution but of collective wealth building.
Switzerland has something that neither Alaska nor Norway possesses in this form: a vibrant cooperative tradition.
Their logic is neither socialist nor capitalist in the Anglo-Saxon sense. It is quintessentially Swiss: shared ownership, decentralised control, individual responsibility.
A Swiss AI citizens' fund would be the logical continuation of this tradition:
A social transfer redistributes income -- from top to bottom. A citizens' dividend distributes ownership -- everyone holds a stake in the nation's productive capital. The former creates dependence. The latter creates participation.
| Phase | Period | Description |
|---|---|---|
| 1 | 2028--2035 | Citizens' dividend as a supplement alongside OASI (~CHF 500/month) |
| 2 | 2035--2045 | Rising dividend integrates OASI pension (CHF 2,500/month) |
| 3 | From 2045 | Full replacement of OASI, DI, social assistance by universal dividend |
It is telling that precisely those who are driving automation -- Sam Altman, Elon Musk, Bill Gates -- are the loudest advocates for a UBI. They are not social romantics. They know the numbers.
This model is the opposite of socialism. It takes control over distribution away from the state and gives it to citizens -- as owners, not supplicants. It combines the fiscal necessity of a citizens' dividend with the political culture of Switzerland.
[1] Friedman, Milton: Capitalism and Freedom. University of Chicago Press, 1962.
[3] Alaska Permanent Fund Corporation: Annual Report 2022.
[4] Norges Bank Investment Management: Government Pension Fund Global, Annual Report 2023.
[5] Migros-Genossenschafts-Bund: Annual Report and Culture Percentage.
[6] Swiss National Bank (SNB): Legal foundations and independence.