UBI is possible!
“Across the globe, businesses are going to the wall; jobs are being lost; the self-employed are without work; mortgages are being defaulted; savings are being run through; and rent cannot be paid”. This is happening in today’s society which is why people want some kind of basic income to help set aside the worry of not being able to pay for necessities or having to call for unemployment.
Universal basic income can ease those worries, it is an ongoing topic that the United States is still trying to figure out whether it will solve income disparity. Well, what is UBI? Universal Basic Income (UBI) is defined as the “idea that the government would give each person a minimum monthly sum regardless of circumstances or need”. But before we implement this idea it is important to consider how the federal government will get funds and if there are any set restrictions for it to be a success. While some people say that Universal Basic income won’t positively impact society, I disagree because the money can contribute to support certain groups of individuals, low-income individuals.
Some countries have already tested basic income programs and have been successful. Since 1997, in North Carolina, the Eastern Band of Cherokee Indians Casino has given about 4,000 to 6,000 a year to their tribal members. This has brought positive impacts on the individuals lives. According to economists, the impact it had was positive because a major worry is if this monthly given money increases unemployment but they say, “it doesn’t make them work less. It does lead to improved education and mental health and decreased addiction and crime”. This shows that not only did the participants benefit from receiving money that doesn’t have to be paid back but now they can receive a good education which helps form a better future and better mental health which avoids illnesses. These participants on this basic income benefitted from UBI, but what exactly was the money used for?
Those who disagree with the implementation of UBI to citizens believe that those who will receive it might not use the money for the right reasons. I believe that a higher percentage of citizens who receive basic income will use the money for necessities than those who don’t. For instance, Gonzalez, “a stay-at-home mother who takes online nursing courses while caring for her toddler son, the extra money has helped pay for diapers, unexpected medical bills and college textbooks”. This proves that not everyone utilizes the money for random things but instead things that are beneficial for them and their family. This brings a bigger question, How does UBI benefit the United States?
Although UBI costs a lot of money, low-income individuals receive an opportunity for flexibility during difficult times. Since the Covid-19 pandemic affected many countries around the world, mainly economically, the federal government decided to send some kind of basic income to taxpayers. Since the government made this positive decision there was a growth in flexibility in their jobs. According to The Washington Post, “there is a growing recognition that cash grants do that in a way that provides maximum flexibility in a time of drastic uncertainty and rapid change”. The federal government provided about $2 trillion stimulus checks, Unbelievable right? This shows that the stimulus checks during the pandemic helped citizens support themselves and have flexibility since they also lost their jobs and without the financial help from the government who knows where the economy would be right now. Therefore, we need to know how we will get these funds?
One solution is substituting programs such as unemployment, disability insurance, Social Security and Medicare, even Medicaid. I don’t agree with that idea because those who need this money the most are low-income individuals and families. For example, “Because UBI would have a broad distribution, using it to substitute for welfare and other entitlements aimed at the poor would constitute a transfer from those in need to everyone”. Therefore, we need to find other ways to obtain these funds.
Let’s think about who can contribute to this idea, the rich? Although some people may disagree that taxing the rich is the best option, I can argue that it is one of the best options to receive fundings for UBI. According to, “One proposal calls for an initial 3% levy on all corporations followed by a lower ongoing tax. Some would add a 5% levy on initial public offerings and a 3% tax on mergers”. This shows that the federal government can increase taxes on the wealthiest people. (Not sure how to end this)
(Still working on conclusion)
