Universal Basic Income Has Been Tried Before. It Didn’t Work.
Universal basic income has been discussed here before. It is a payment to people and in its pure form replaces all other government entitlement programs. The author of this article says way he thinks it won't work and points out flaws. The least of which is that too many advocates for UBI don't want to end current welfare payouts- they want UBI to pile on.
The author says a reformed earned income tax credit would work better since it incentives work- even low pay work. Earning income tax credit would have to be reformed- such as removing the disincentive for marriage.
Read the rest at the link.Those calling for a government-funded universal basic income are acting as though it’s a hot new idea. It’s not. It’s been tried before—and it didn’t work.
In essence, universal basic income—also known as guaranteed minimum income—provides cash payments to all citizens, regardless of need.
Some U.S. cities are trying out the idea themselves. The city of Stockton, California, will begin a privately-funded, 18-month pilot program in early 2019. Chicago Mayor Rahm Emanuel also recently announced a task forcethat will consider implementing it there.
The problem? This has been tried before—and the results weren’t pretty.
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Policy should be designed to reward work rather than replace it. Therefore, a better alternative to a universal basic income would be to expand the earned income tax credit.
Unlike the former, which gives out payments regardless of work, the earned income tax credit supports work with cash benefits. In addition to making it more generous, reforms to the earned income tax credit should work to reduce fraud and disincentives to marriage in the program.