1y ago

Denver experimented with giving people $1,000 a month. It reduced homelessness and increased full-time employment, a study found.

www.businessinsider.com Denver experimented with giving people $1,000 a month. It reduced homelessness and increased full-time employment, a study found.

UBI, or universal basic income, is a form of direct cash assistance to help the most vulnerable get back on their feet. A new study in Denver suggests it works.

Denver experimented with giving people $1,000 a month. It reduced homelessness and increased full-time employment, a study found.

cross-posted from: https://lemmit.online/post/1021018

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The original was posted on /r/upliftingnews by /u/DyeZaster on 2023-10-05 17:58:02.

World News @lemmy.ml

UBI Cash Payments Reduced Homelessness, Increased Employment in Denver

www.businessinsider.com /ubi-cash-payments-reduced-homelessness-increased-employment-denver-2023-10

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Every time I see an experiment like this it’s wildly successful and then never made into any kind of law or permanent social program.
- Simply put, a lot of people hate socialism aka "I'm paying so you can get something for free". I'm all for it.
  My 73 year old father supports Trump (not one of the crazy people, just misguided) and hates Biden. He said one of the biggest things that Biden did that pissed him off was student loan forgiveness because my dad said he had to work 3 jobs in the early 70s to put himself through college (which he dropped out of and went into the electrical trade), so everyone else should have to struggle like he did, regardless of the fact that college cost him like $2,000 a semester and it costs like $12-15 grand now, assuming you're not living on campus.
  
  That’s such a sad argument. I heard a great counter to that line. Imagine we discovered a cure for cancer. This line of reasoning would say “well my mom suffered and died of cancer so why should others get a cure?”
  
  My mom’s ghost would slap me so hard if I said that
  
  Pretty much.
  
  I can imagine those people saying this
  
  Cancer is mostly random. Going into debt for school is a choice.
  
  A choice typically made by 17 year old kids after having spent their entire life having it drummed into them that college is the correct step to take after school
  
  Also 17 year old kids, the vast majority of which have never taken on significant debt and have no frame of reference for the scale of obligation they're taking on.
  It blows my mind that we look at an 17 year old and, as a government, we say, "Alcohol? Too young and immature. Handguns? Too young and immature. Tobacco products? Too young and immature. Voting? Too young and immature. Enlisting in the military or want to take on 5 or 6 figures of debt that will drive your major life decisions for the next few decades? Sign here."
  
  What causes you to go to school? Generally a hope to fulfill your basic survival functions these days, like eating, safety, and temperature regulation. Are those needs choices?
  And what causes having those needs? Being born. Was that one's own choice either?
  I think this argument won't work well on those who came of age when a highschool degree would cut it, but it is logically rather sound based on present realities.
  
  I'm a younger millennial and went to school and got a degree. No debt. It's a choice.
  
  I love this argument. Absolutely no empathy for anyone who had different options and experiences, just straight up "I did it so anyone else can too." You're making the world a better place. /s
  
  "Fuck you, I got mine."
  
  I can have empathy for people in different situations than me, but it's not my responsibility to bail them out of their problems.
  
  I really don't understand people who don't want to contribute to an overall better society.
  I'm happy to pay more in taxes to have a healthier, better educated, and more stable society. It pays dividends.
  
  I'll just assume your family is penniless, sent you to poorly funded K-12 schools, and kicked you out on your ass onto the street the day you turned 18 with no warning or support of any kind, and you still somehow got a degree without debt.
  Otherwise, you'd be a raging hippocrite born on third base crowing like you hit a triple! Clearly though that can't be the case.
  I'm sorry your family did you like that though, that's rough.
  
  Well it is if you want a healthy society, other wise sure, every man for himself.
  
  it’s not my responsibility to bail them out of their problems.
  Counter argument: Yes it is. As much as any responsibility exists at all, you have a responsibility to your fellow people.
  "Well it's not my responsibility" leads to a shittier world. And since you apparently have a degree and no debt, you can spare the energy to be better.
  Or maybe just watch "The Good Place" again.
  
  No?
  Then don't call the police when your house gets robbed because you chose not to build the walls and doors out of nearly unbreakable titanium, build the windows out of nearly unbreakable 6 inch plexiglass, and install the best available security system in the world. I don't want to be paying for your choices, and this is your problem now.
  Don't call the fire department when it burns down, either. Especially if you didn't install a halon fire suppression system in every room and closet. Sorry for the loss of your house, neighbor, but your choices, your problem.
  Quit driving on public roads. Getting around without using them is your problem and I don't want to pay for it.
  You'd better send your kids to private schools. It's expensive, but hey, that's your problem.
  Fortify the hell out of your home. If we ever get invaded, I don't want the military defending it. It would suck if it got attacked and destroyed, but that's your problem; I'm not bailing you out.
  In fact, you know what? You should just drop out of society, go buy your own island, and declare yourself sovereign. There, you will only ever have to deal with your own choices and problems. You'll never have responsibility for anyone else's, and no one will have responsibility for yours.
  The rest of us will be over here enjoying something called civilization, where people join together for their mutual benefit and aid.
  
  You think you're personally paying off other people's student loans? Don't bother answering you're obviously just a troll.
  
  What's your opinion on bailing out Mega Corporations who didn't responsibly save their money? Or is it ok to bail out Mega Corps but not ok to bail out your mechanic?
  
  That is quite a selfish viewpoint. Perhaps reconsider what you mean. Are you really stating that all people should have the same fate as you regardless of their starting conditions?
  
  No. But lots of people are bad financially and get themselves into too much debt without a way out and I don't think I should be responsible for bailing them out.
  
  this is such a delusional and likely spoiled statement
  
  You can always tell when people run out of arguments when people respond to reasonable comments with "OMG I CANT EVEN"
  
  I seem to have struck a nerve, you must be one of the people I'm talking about.
  
  Booo, ok troll spotted never mind my earlier question. I see your game
  
  A 17 year old kid is forced into taking on debt to attend college with, at the time they agree to it, no way of paying it off. It's a gamble any which way you slice it. And they have no frame of reference to understand the decision they're making.
  The school isn't on the hook to ensure they get gainful employment that would pay them enough to manage that debt. The loan servicer isn't either. Only the kid is going to be held to anything, yet the shitty take is always, "They knew what they were signing up for, so fuck em. I want them to suffer for their bad decision."
  With all sincerity, I hope you encounter misfortune through no fault of your own that ruins your financial security for the next 20 years.
  Maybe that'll teach you a little empathy.
  
  No one is forced to go to college. And they definitely aren't forced to attend 50k+/year universities.
  
  A 17 year old kid is forced into taking on debt to attend college
  No they're not! No is forced to go to college, and no is forced to go into debt to do it! Those are both choices they made! The premise of your whole argument is not true!
  With all sincerity, I hope you encounter misfortune through no fault of your own that ruins your financial security for the next 20 years.
  Unlikely, I plan ahead and don't make stupid financial decisions.
  
  This shit is bad for society, and by extension you. Loan services and schools suck up vast wealth that... goes into rich pockets and widens the income gap. Money that could go to purchasing goods and services, or supporting businesses of any size, or buying houses, or having kids, or paying taxes that could be used on useful things like decent roads (how taxes are used specifically is outside the scope of this discussion, just an example).
  Your whole world could be better through loan forgiveness, just not specific to you. Just everything around you better. Just requires a little less "got mine".
  
  Unlikely, I plan ahead and don’t make stupid financial decisions.
  Oh sweet summer child...
  
  You forgot this part of that claim - "And I didn't get help from nobody neither"
  
  I guess you’re against COVID treatments too because coming in contact with other human beings is also a choice. Lung Cancer cure? No thanks, they chose to smoke those cigarettes so I would like them to suffer.
  
  Lung Cancer cure? No thanks, they chose to smoke those cigarettes so I would like them to suffer.
  My mom died of Lung Cancer, didn't smoke a single cigarette her whole life. So fuck you.
  
  I don't want them to suffer, but I'm not paying for their treatment.
  
  I don’t want them to suffer,
  but I’m not paying for their treatment.
  I'm not trying to be spicy, but you must see how these two statements are contradictory.
  
  No... No they don't lol.
  
  If you have insurance, private or public, you’re paying for them either way. That’s how insurance works.
  
  Nobody wants to pay taxes bud, but if you don't, the country will fall apart around you because of precisely that.
  
  Big L take . Enjoy the ratio
  
  It most certainly did not cost him $2000 per semester in the early 70s. It cost about $2000 for a full year at a private university. Around $500 if he went to a public school.
  https://nces.ed.gov/programs/digest/d07/tables/dt07_320.asp
  And that's in 2007 money! $500 in 2007 converted to the early 70s is $90 to $100. Minimum wage was $1.60 per hour, so he would have to work 2 weeks at minimum wage to afford public school. 7 weeks for private school.
  What a burden! He might have to give up part of his summer!
  
  Yeah, maybe per year, I don't remember.
  
  I hate that THAT is the argument against loan forgiveness. No one is making the actual argument - that this doesn't fix the systemic issues that caused the debt in the first place and will actually make it worse for future generations.
  Student loan reform is what we need. Loan forgiveness without reform will cause tuition prices to increase for future generations.
  It's millenials doing a "fuck you, gen z, I got mine" and we should be better than that.
  
  Certain states are making tuition free for public universities if you meet their requirements, I know NY State is one of them.
  
  Does he have any grandchildren? Sometimes people feel this way only about “others” and have considerably different feelings about how “we” should be treated.
  
  Yep, a 3, almost 4 year old niece.
  
  And he thinks working 3 jobs will be good for her, right? After all, he turned out great.
  
  so everyone else should have to struggle like he did
  Remind him that as parents we're supposed to leave the world a better place for our kids.
  
  Boomers didn't get that memo.
  
  Boomers didn’t get that memo.
  That's why this Gen-Xer is telling him to remind his dad of that lesson.
- The sad truth is current capitalism would ruin it.
  If you have a whole city UBI then rent and prices would immediately inflate to siphon that away.
  You'd need robust price laws beforehand, and that's unpopular. Otherwise it's just a tax-to-overlords pipeline
  
  Funny how capitalism seems to always stand in the way of doing anything objectively good. I guess the homeless will just have to hold on until we figure out how to do welfare in a capitalist economy.
  
  Sure, prices inflate... and the guy who had $0 to buy nothing at the cheaper prices, still has $1000 to buy something at inflated prices.
  
  I think the problem here is that the guy who can now afford a non zero number of things is counterbalance by the person who is just outside of the threshold for receiving the $1000 stipend. The person who previously could afford very few things that is now able to afford even less. It averages everyone out which is good for those who have nothing it is a horrible slap in the face to people who are only slightly better off
  
  The idea behind a UBI is that it's given to everyone (Universal), not just the poorest. So this wouldn't be a problem with a true UBI
  EDIT: I notice in the article that it was only given to certain people. In that case it's not really a UBI, but maybe I'm just getting pedantic about the Universal bit
  
  the person who is just outside of the threshold
  "Universal" means for everyone, no threshold. If there is a threshold, that's a subsidy, not a UBI.
  To keep content the likes of "I earn my money, so fuck those who don't", some subsidies complete people's income "up to" some amount, like up to $1000/month. Guess it's a slap to the face of those working to earn $1050... and maybe they deserve it, for not negotiating a better pay.
  
  I believe they're referring to an undefined threshold of buying power. E.g. if I earn $3000 but my take home is $200 after taxes, rent, food, utilities, and student loan repayments, abusive price hikes on basic needs could reduce my take home below the point of sustainability, even factoring in an extra $1000 on top of that. Basically, if rent, food, and utilities go up by 50% but I'm only earning 33% more.
  Might be an extreme example, but I think it's certainly a consideration that needs to be made when putting together the legislation. There needs to be some form of price control, otherwise those UBI checks could basically just become a free gift from the government to exploitative corporations and landlords.
  
  The abusive price hikes scenario, is what happens when subsidies are tied to a specific purpose and income threshold: the providers of that particular service can increase their prices by the subsidy amount for everyone, while only those qualifying get the actual subsidy, and everyone else gets swindled. (This has also been tried, and proven)
  There needs to be some form of price control
  The price control with an UBI, is the lack of a single provider who can blindly increase prices without getting undercut out of the market, meaning the increase would get spread over all services, particularly those someone earning $0/month would spend their money on, like rent, food, and utilities.
  Basically, if rent, food, and utilities go up by 50% but I'm only earning 33% more.
  They wouldn't go up "by 50%" (or more precisely, the % is irrelevant), they'd go up, taken together, by less than the UBI amount, which you'd also be receiving. Otherwise, those earning $0/month wouldn't be able to afford them, and since it means a direct increase to provider margins, anyone trying to rise them more, would get undercut out of business by someone else who'd be fine with a slightly lower margin increase.
  That means, the basic services you worry about, would increase by at most the same UBI amount which you'd also be getting, leading to a net zero or barely positive effect.
  Your $200 take home wouldn't change, and only if you wanted more rent, food, utilities, or whatever an UBI-only person would buy, you'd find those $200 would get you less of those... but only of those, not of services an UBI-only person wouldn't purchase.
  A jet ski would still cost almost the same, only increased by the extra amount business owners could pay due to increased profit margins.
  Overall, it would mean a huge influx of cash to the top 1% through "trickle up", which they could spend on more expensive toys, but it would still mean a night-and-day difference to those below the UBI level, little difference to non-business owners earning barely a few times above it, and a slight margin increase to business owners.
  Basically a win-for-all scenario.
  
  I do want to believe all of that, but I am also not going to underestimate the tendency for de facto oligopolies like ISPs to continue colluding on prices, or landlords disproportionately raising rents to "keep out the (probably non-white) poors" who have been gifted greater economic mobility.
  I'm just not keen on any policy which assumes that the market can be trusted to course correct itself in a way that is healthy and fair for consumers, because that is so often not the case. I would honestly prefer a system with no UBI, where people simply do not need to buy basic necessities at all. Shelter, food, and utilities should be fundamental rights that people shouldn't need to pay for in the first place, and income would just allow people to improve the quality of those things should they desire.
  
  Yeah, I'm definitely glad we don't have UBI that's proven to help a lot of people people because if we did, landlords and corporations would theoretically raise rent. Instead, landlords and corporations are constantly raising rent in excess of inflation and we also don't have UBI.
- Every time I see this it's a small group within a larger capitalist society. So of course the results are beneficial to the recipients; it's not really proving anything in that respect.
  The problem as I see it is how to make it work as its own self-sustaining economic system.
  
  That’s a worthwhile point. However the whole trick with capitalism is to have some counterbalances in it so it doesn’t become an absolute jungle. The SNAP program is a minor program within the scope of capitalism but it’s aimed at preventing the absolute worst of the worst outcomes.
  So small anti-capitalist programs are actually an essential part of capitalism. Unless you want to have absolutely no floor and watch 5-10% of people literally starve.
  
  But programs such as the one in the OP are supposed to be prototypes for a universal basic income. I've seen a number of these experiments crop up in the news, and it's always just proving that the recipients thrived more. Which, ok, is good in and of itself.
  But wasn't it obvious? Was it ever even really the question for UBI? Or is the real question about whether and how it can scale up and become self-sustaining?
  
  Well the outcome might seem obvious to you but there are definitely those that say “they’ll just waste it on drugs and booze” or “if they knew how to manage their money they wouldn’t be homeless.” I’m not saying these are good arguments but they’re common. And I think there’s a reasonable amount of doubt that even compassionate people might have.
  And aside from that, even if you believe totally in people’s good intentions and desire to thrive, there are many questions about how much is enough, who thrives more or less, how long it takes to show results… Many things we should rightly study to inform any future efforts.
  So you seem to be objecting to running such a trial because “duh of course” but I disagree that it’s that simple.
  And yes beyond that there are of course issues with how to scale it up. Personally I don’t consider UBI to mean that 100% of the population gets income. As with the COVID stimulus checks, we should exempt the affluent.
  
  The problem as I see it is how to make it work as its own self-sustaining economic system.
  Wouldn't that be a loan?
- I think part of it is that these might not have an effect on perception of homeless people quantity.
  The people who are helped by the $1k were likely able to show up for it and otherwise be stable enough. If see them on the street walking around you might not realize they are homeless.
  When people complain about homeless, they usually are talking about ‘mentally ill homeless people’. These people probably can’t finish this program
  
  Complete what program the money was provided with no strings attached. I also saw no selection criteria so I don’t know why you think this group was hand selected for maximum results. Any decent study would randomize the participants so I’m sure a statistically proportional number of mentally ill homeless also got the payments.
  And as for the part about it not effecting the perception of homelessness, directly from the article:
  The guaranteed income also dramatically reduced visible homelessness
- That's because they often focus on those that just needed a few grand to get off the street which isn't the cause of most homelessness. We should be doing this for those that need it but a program like this won't help the chronically unhoused who tend to be mentally ill and/or have addiction issues.

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