Mar 05, 2021 07:00:00

What are the results of the Basic Income experiment conducted in the United States?

An experiment started in Stockton, California from February 2019, 'What happens if you give $ 500 a month (about 54,000 yen) to people in need without limiting the usage?' , Ended in January 2021. The results of this experiment are explained by the overseas media, The Atlantic.

Stockton's Basic-Income Experiment Pays Off-The Atlantic
https://www.theatlantic.com/ideas/archive/2021/03/stocktons-basic-income-experiment-pays-off/618174/

The experiment was conducted on 125 randomly selected residents living in Stockton and below the median average annual income of $ 46,000. Selected residents were paid $ 500 each month, and residents were not obliged to report how the money was spent and were allowed to spend it freely.

The whole story, such as the voices of the residents recorded during the experiment, is described in detail in the following article.

What happened as a result of continuing to distribute 54,000 yen to the citizens every month? Record-GIGAZINE

Associate Professor Stacia Martin West of the University of Tennessee and Associate Professor Amy Castro Baker of the University of Pennsylvania divided some residents into groups of residents who were included in the experiment and those who were not, and collected and analyzed the data. The we. As a result, some facts have been revealed.

First, the volatility of the income of the group that received the money has decreased. The monthly household income of the group that did not receive the money fluctuated by 68%, while the monthly household income of the group that received the money was suppressed to 48%. Most of the money received was used to pay for living expenses such as food and utilities, and less than 1% was used for favorite items such as cigarettes and alcohol.

'I don't have to go to the food bank three times a month, and I've successfully repaid my delinquent credit card payments,' said one of the subjects, Laura Plummer.

Second, the idea that 'people stop working when they receive money' was wrong. The employment rate of the group that received the money was found to be 7% higher than that of the group that did not receive the money. In an interview, Associate Professor West and colleagues said, 'Receiving money is likely to have influenced individual goal setting and risk-taking.'

Another subject, Thomas Bergus, said, 'I used to work in the logistics industry, but I also wanted to start a business with my own business ideas,' and worked as a case manager after actually receiving the money. It is said that it is.

Finally, the group that received the money was happier, healthier, and less anxious. 'Money is a much better way to cure depression than psychotropic drugs,' said Michael Tubbs, the former mayor of Stockton, who led the experiment.

Although Stockton's experiment has been completed, it is said that the activities of the group 'Mayors for a Guaranteed Income ' established by Mr. Tabus are planning cash benefit systems for low-income earners in various cities.