Why the U.S. government should send you $3,000 for doing nothing
Support builds for a new kind of "welfare state"
In Switzerland, voters will head to the polls on Nov. 24 to decide whether every citizen should start receiving unconditional checks for 2,500 Swiss francs ($2,800) every single month.
It's called a universal basic income or basic income guarantee, and it's been championed by everyone from socialists to free market champion Milton Friedman. Thomas Paine advocated for a version of it in Agrarian Justice, published in 1795. Mostly, it has been a kind of utopian pipe-dream, implemented here and there only by local governments.
The idea is simple: Every month, every citizen gets a certain amount of money from the government, regardless of income or any other factors. Someone making $100,000 a year would get the same check as someone making $15,000 a year.
Subscribe to The Week
Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.
Sign up for The Week's Free Newsletters
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.
That monthly check, the thinking goes, would guarantee a basic living standard and drive up wages as private companies are forced to compete with the government. On a small scale, this already happens in places like Alaska, where, every year, residents receive a share of the state's oil profits ($900 in 2013).
It has never, however, been implemented across a large, developed country like Switzerland. If it works there, could it work in the United States?
Most of the proposals for a similar program in the United States have thrown around sums much lower than $2,800 a month. Switzerland, with a population about the same as New York City, is one of the wealthiest countries in the world per capita — making it hard to relate to when drawing up policy.
In the United States, some have suggested setting the basic income guarantee at the poverty level, which is currently $11,490 for one person. That means everyone would get a check for about $957 every month. Less ambitious, but perhaps more practical, is leftist economics writer Matt Breunig's suggestion that Uncle Sam cut every American a check for $2,920 every year. That includes children, so a family of four would get $11,680 a year, no matter what.
Sign up for Today's Best Articles in your inbox
A free daily email with the biggest news stories of the day – and the best features from TheWeek.com
His reasoning was that nearly $3,000 in basic income, added to someone's regular income, would lift about half of the country's poor out of poverty.
"Maybe that will convince a few Americans work isn't worth it anymore," he wrote in The Atlantic, "but the vast majority who will probably continue to work won't have to worry about losing their check as they move up the income ladder."
Of course, that "probably" is what scares conservatives already weary of the "welfare state."
However, it's conservatives that have made some of the strongest cases for the basic income guarantee, mostly because, theoretically, it would replace regimented government spending on programs like food stamps, Social Security, and Medicare with a lump sum that Americans can spend as they please. Other government programs could be slashed and eliminated as Americans got used to receiving a single check from a single department.
"Leave the wealth where it originates, and watch how its many uses, individual and collaborative, enable civil society to meet the needs that government cannot," wrote libertarian columnist Charles Murray in the introduction to his book In Our Hands: A Plan to Replace the Welfare State.
In other words: If the government is going to spend money anyway, why not let the people decide how to spend it? This, however, isn't a universal libertarian argument. Economist Tyler Cowen argued that politicians would never end programs like Medicaid or Social Security, which would lead to something that "suddenly starts resembling … the welfare state, albeit the welfare state plus."
The appeal to the left is obvious. New York Times' economics reporter Annie Lowrey made the case for how a basic income guarantee would level the playing field for the 99 percent:
Not that Washington is even remotely capable of passing anything like this. Congress can't even keep the government running with the system the United States has now. But it will be interesting to see how things play out in Switzerland, and if the basic income guarantee is a success, whether other developed nations start toying with the idea themselves.
Keith Wagstaff is a staff writer at TheWeek.com covering politics and current events. He has previously written for such publications as TIME, Details, VICE, and the Village Voice.
-
Will California's EV mandate survive Trump, SCOTUS challenge?
Today's Big Question The Golden State's climate goal faces big obstacles
By Joel Mathis, The Week US Published
-
'Underneath the noise, however, there’s an existential crisis'
Instant Opinion Opinion, comment and editorials of the day
By Justin Klawans, The Week US Published
-
2024: the year of distrust in science
In the Spotlight Science and politics do not seem to mix
By Devika Rao, The Week US Published
-
US election: who the billionaires are backing
The Explainer More have endorsed Kamala Harris than Donald Trump, but among the 'ultra-rich' the split is more even
By Harriet Marsden, The Week UK Published
-
US election: where things stand with one week to go
The Explainer Harris' lead in the polls has been narrowing in Trump's favour, but her campaign remains 'cautiously optimistic'
By Harriet Marsden, The Week UK Published
-
Is Trump okay?
Today's Big Question Former president's mental fitness and alleged cognitive decline firmly back in the spotlight after 'bizarre' town hall event
By Harriet Marsden, The Week UK Published
-
The life and times of Kamala Harris
The Explainer The vice-president is narrowly leading the race to become the next US president. How did she get to where she is now?
By The Week UK Published
-
Will 'weirdly civil' VP debate move dial in US election?
Today's Big Question 'Diametrically opposed' candidates showed 'a lot of commonality' on some issues, but offered competing visions for America's future and democracy
By Harriet Marsden, The Week UK Published
-
1 of 6 'Trump Train' drivers liable in Biden bus blockade
Speed Read Only one of the accused was found liable in the case concerning the deliberate slowing of a 2020 Biden campaign bus
By Peter Weber, The Week US Published
-
How could J.D. Vance impact the special relationship?
Today's Big Question Trump's hawkish pick for VP said UK is the first 'truly Islamist country' with a nuclear weapon
By Harriet Marsden, The Week UK Published
-
Biden, Trump urge calm after assassination attempt
Speed Reads A 20-year-old gunman grazed Trump's ear and fatally shot a rally attendee on Saturday
By Peter Weber, The Week US Published