Universal basic income

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A more targeted effort that did not aim to be universal could do much more on that score. Ms Smith, along with 1,000 other residents of the Bronx, received a one-off $1,000 grant from Mr Yang’s outfit. This allowed her to buy food and to restore the internet, which her 14-year-old son needed for remote learning. This helped a great deal. But UBI advocates still have to explain why it would not be better to give families such as hers larger sums rather than a smaller payment that also goes to those who do not need it.

Why slash the unemployment bonus?

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The government support created by The Cares Act has actually increased personal income since the start of the recession. But Americans haven’t been holding onto this money. They’re spending it, and spending it on important things, research suggests. Analysts from the Kellogg School of Management at Northwestern University that analyzed how people spent their stimulus checks found that individual spending went up for food, household items, and bill payments, including rent, “suggesting that many people were using the funds to obtain necessities and catch up on bills.” Nor has it been a disincentive for Americans to go back to work because, well, they’ve started going back to work.