Does UBI benefit the U.S. or will it lead to inflation ?

Ingrid Hernandez
The Ends of Globalization
3 min readSep 24, 2021

The debate I chose is “Would a Universal Basic Income Help Global Poverty?”. After reading the articles I have some concerns and questions about UBI. I’m not sure which side I will take yet because I need to analyze the pros and cons of both. What I do find interesting is in The pandemic strengthens the case for universal basic income Andrew Yang speaks about the importance of UBI to help during crises like Covid-19. Yang mentioned, “Calling for the government to spend very large sums of money to keep families on their feet, to keep a small business afloat, and to keep the economy from collapsing”. During the covid-19 pandemic, many countries in the U.S. have seen a negative impact on the economy and people became unemployed which results in not having income to pay for their expenses. Yang mentions that the government agreed to send out stimulus checks. These stimulus checks were given by the IRS to people who paid their taxes, older than 18, and it didn’t matter what their immigration status was. Although I believe it is a good way to help people in need, it concerns me because I have seen on social media that some people didn’t utilize their stimulus check to help them pay for things they needed instead they bought unnecessary things. But, I also understand that not everyone made those choices and some people did use them to buy necessities or pay for bills. In the CQ researcher, it says, “A Bureau of Labor Statistics study of people on unemployment discovered, for instance, that they spent more time in front of the television and sleeping than upgrading their working skills, much less contemplating the meaning of life”. This shows that some people used their unemployment benefits to not work at all which in my opinion isn’t equal to those who need it and don’t receive the same benefits. Although I believe that the UBI should be a sufficient amount of money but not too much that the people don’t want to work. I also agree with what Yang mentioned, “UBI, or at least programs that guarantee income to those in particular need, shouldn’t be seen as a panacea, but a baseline government effort that “improves Americans’ day-to-day lives”. I think the idea of UBI is good because it will give U.S. citizens an equal amount of income apart from their jobs and that extra money can be used as an extra help. I also agree with “Such a draw on the economy would markedly burden taxpayers and increase government debt with all the associated economic ills”. People talk about how even though the government gives this “free” money to the citizens especially as it was seen during the Covid-19 pandemic, it will eventually increase taxes. This leads to individuals such as Bernie Sanders believing in “Taxing the rich ‘’ and I think it’s a good idea because rich people get even richer meanwhile people of low-income don’t even earn minimum wage. I do want to say that if the government gives everyone paychecks of let’s say $700 a month, the rich will just get richer and the poor will still be poor because there won’t be any income equality after all. I think it’s important to research more about how UBI takes money from the poor, and how will the government be able to afford UBI without getting in debt.

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