Times are changing, and we have been hearing about AI's impact on jobs and the concentration of wealth among the top 1% of the population. Many world leaders have been talking about the great reset and the need for a Universal Income. London has taken a step forward by announcing a two-year pilot program to test Universal Income, that they receive £1600 or $1990 per month with no obligation. While it sounds like a fantastic plan, let`s dive into some risks and reasons to have it.
What is a Universal basic income?
Universal basic income (UBI) is a social welfare proposal that guarantees all citizens of a particular population a regular income through unconditional transfer payments, without the need for means testing or work requirements. This income would be provided independently of any other earnings individuals may have. If the amount received is sufficient to cover basic needs, meeting or exceeding the poverty line, it is known as a full basic income. If the amount falls short, it is referred to as a partial basic income. While no country has fully implemented UBI, numerous pilot projects have taken place, and the idea is being actively discussed globally. Critics have often labeled UBI as utopian, referring to its historical origin.
Now, London is ready to embark on a groundbreaking pilot program, running for two years, to explore the potential of Universal Income.
This initiative comes at a crucial time as we grapple with the challenges of automation and wealth inequality. By implementing this trial, London aims to gather valuable insights into the effects of UBI and its potential to create a fairer and more equitable society.
However, critics raise valid concerns regarding UBI's feasibility and potential drawbacks.
One of the main criticisms is the high cost of implementing such a program nationally. Detractors argue that funding UBI could divert resources from public services, including healthcare, education, and infrastructure. Additionally, they contend that UBI might not effectively target those most in need and could inadvertently create dependency on government handouts rather than encouraging self-sufficiency and productivity. Since we do not have any data or information to rely on, will it really be just cash in your bank account, or can you use it only in certain places?
How is this going to affect the tax system and overall prices and inflation? As we do not know the answers today, this rollout pilot is an exciting way of seeing how things will change if the world has a Universal Basic Income.
The pilot aims to demonstrate the potential benefits and gather evidence to inform future policy decisions.
Autonomy's proposed trial seeks to address some of these concerns by evaluating the impact of UBI in a controlled environment. The pilot aims to demonstrate the potential benefits and gather evidence to inform future policy decisions.
By selecting participants from diverse backgrounds and ensuring the representation of people with disabilities, the trial seeks to capture a comprehensive understanding of the potential effects of UBI on various groups.
What are your thoughts on this? Share your opinion in the comments for an open discussion.