Let me borrow phrases from Michael O. Church.
Basic income is the way to go for now.
Since automation deprives people of power as producer, they need some other kidns of power. Basic income gives power as consumer to people. If they have basic power as consumers, people will be much more likely to refuse crappy jobs, which is terrific.
As time goes, more of easy tasks are automated, and humans are left with intellectually difficult tasks, so we will need to learn more to have jobs. This means, after decades, people will have to drop jobs from time to time, learn for months/years at home, and get another job. This process leaves most people jobless, and eventually, 0~10% of humanity will be "fully" employed.
However, there will always be infinite demand for making our lives better.
Thus, even after our basic needs(food, house, sleep, …) are automated, there'll still be economy for billions of people on this planet alone.
What's wrong with receiving basic income which enables people to refuse traditional crappy corporate jobs and work "only" on interesting things in their lives(Art, Science, etc)? Humans aren't born to work in subordinate jobs in the first place.
Another possibility is that, eventually, there will be no need to work at all, and economies will collapse. http://en.wikipedia.org/wiki/The_Culture describes this possibility.