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UNCONDITIONAL INCOME FOR LONG-TERM UNEMPLOYED PEOPLE AS SOLUTION IN GERMANY

The classical Game Theory reflects the payoff of decision-makers. The conventional model has been expanded to a 3D Expanded Game Theory (EGT), including the consequences for the stakeholders. This model has the holistic benefits similar to the stakeholder model, but also allows forecasts like the classical Game Theory. This paper will discuss EGT. This model is to be applied in the German labour market, where we have two decision-makers, an “unemployed person” and an “employee at job centre”, as well as the stakeholder, “the state”, who can influence both decision-makers in different ways. Germany has almost full employment on one hand and a hard core of long-term unemployed people on the other. Including these people in the labour market is very expensive and inefficient. This study will show how an unconditional income can be a possible solution for this specific group under the current German circumstances.