Universal basic income and guaranteed income programs: How they work

Universal basic income and guaranteed income programs: How they work
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[Music] Pilot programs testing out guaranteed Income are popping up around the country As local governments look for new ways To address poverty in their regions the Programs provide select people with a Monthly no strings attached stien and According to an article from Insider These programs are actually working so For more on this we're joined by author Of that article Michael venuto mantoani He's a contributor for Insider thanks For joining us um Michael so this is Really interesting and I think you Showcased um one that may be happening CU I live in the Philly area and I think There you showcase one in that area as Well how do these pilot programs work so The program that I specifically wrote About was uh funded in large part by a Uh donation from Jack dorsy uh I believe He donated $15 million to be used around The country um and the nonprofit Mayors Uh nonprofit group Mayors for a Guaranteed income worked with uh Different cities to implement these Programs So the uh program I wrote about Specifically I live in Chapel Hill North Carolina right next door to Durham North Carolina um and they did a program last Year uh or I'm sorry earlier this year Um implementing a $600 a month no Strings attached stien uh for uh 109 of

The town's residents so what's the Difference between Universal basic Income and guaranteed income programs And who Qualifies so Universal basic income is Universal you me um uh anybody living in You know beneath the poverty line the Media Universal basic income is Everybody these programs were targeted Um and so I I can't speak to the others But the the program that I wrote about And Durham they chose um 109 uh formerly Incarcerated people um and so the uh the The benchmarks were that they had to be 18 or older they had to have been Incarcerated from uh since 2016 And they had to fall below I believe it Was 60% of the median income uh for the Area and they found a pool of 247 Residents that met those criteria from There they selected 109 residents um how They selected those they don't know they Worked with um researchers from the University of Pennsylvania in Philly and Um they chose the residents uh whereas The rest of the pool was put into a uh Control group um and from there the People who were chosen the 109 residents They got $600 each month no strings Attached they didn't have to report how It was being used there was an optional Survey element or uh storytelling Element um but there was no uh there Were no strings it was here's $600 use

It however you see fit to make your life Better I just want to clarify a little You read you what one of the things that You wrote was at the University of Pennsylvania sort of studying one of These programs which then I got all Completed in my head um but I thought it Was really interesting that of course a Program like this would get pushed back Because we're talking about ex felons And why should they get free money and Basically you know those putting to the Program together said shove it like We're going to pay for these people one Way or the other so let's pay for them Now to help them get stable and so then What was the result I mean was this Program Successful yeah um and so yeah that was One of the most uh kind of important Bits of information that I got and and One of the most important bits of the Story that I wrote was Durham's mayor Protm Mark Anthony Middleton he said Exactly that we're going to have to pay For these people one way or the other Whether through incarceration or through You know basic guaranteed income so why Not pay on the front end and help them Become uh community members uh rather Than you know so whether or not it Worked I think the evidence is very much In the fact that in this program there Were zero cases of recidivism uh not one

One of these people went back to prison Within within a year um two of them did Due to Prior convictions these people Knew they were going to go back to jail Um the program knew these people had to Serve time uh but from the start of the Program to I guess today or the end of The program um there were no there were Zero zero cases of recidivism amongst The 109 recipients um and and you know Mayor proam Middleton said uh you know People who are financially solvent they Make better neighbors they make better Members of the community um and so let's Help them to become better members of Our community and I think like the key Here too for people to realize is you Know it's not food stamps that you have To spend you know has to go to Food it's Not like subsidizing your housing has to Go to housing you get to decide how to Use this money to make your life more Stable and I guess you could be Reckless With it but I presume what they found is That people generally weren't Reckless With the money no people were buying Food people were buying buying clothes For their children um people were you Know the one woman I chose to focus on Her name was tedria Lewis and she's Amazing she's since started a nonprofit For young black girls in Durham um she's A she's a really really really wonderful Woman and because she bought a car and

When when you say that on a surface Level she bought a car well I thought This money was supposed to be for food Or for yes but she bought a car so that She could better do her job she needed a A reliable vehicle to to perform her job And now she's earning more money than She ever has because she's able to have More reliable transportation to better Do her job and so when you think of it Well she bought a car she bought a new Car you know that's not how you're Supposed to use this money first of all It's it's nobody's decision how they use This money except their own and second Of all when you get past that first Layer it is it is helping her become a Better member of the community in Durham Right and so yeah that was the thing it Was again mayor proen Middleton said we Don't ask stock brokers they spend their Money you know why should we ask these People how granted you know there could Be an argument that it is taxpayer Funded because yeah but but that's the Basic idea this is your money do Whatever you want with it some people May use it for you know ill means but Most people don't and and statistically Through the storytelling aspect of this Program it was proven that people are Just using this for necessity yeah I Think it's fascinating I'd like to see The outcome of some more of these um

These uh programs uh I you want to ask Him about his guitars but we can't I Know we're running out of time uh but Very sweet axes behind you Michael uh Thanks so much for joining us that was My last Job very sweet