It’s time for a guaranteed minimum income

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And we have reason to be optimistic. Just last month, House Speaker Nancy Pelosi told reporters that regular, direct cash payments should be a part of the solution to the economic crises caused by the COVID-19 pandemic. Pelosi’s statement is a major win for those advocating for cash as a solution to poverty. This is a tectonic shift in thinking and narrative, but we need more voices to demand cash as part of the COVID response and recovery from every level of government.

Some members of Congress are proposing a basic income of $2,000 per month for every American, and we strongly support this proposal.

We don’t need any more studies or taskforces to trust people with cash. Our report detailed how cash provides dignity, flexibility, and agency. We can strengthen millions of households with a basic income. If a report isn’t convincing, then look to the results from the Stockton SEED demonstration led by Mayor Michael Tubbs. Or Aisha Nyandoro’s Magnolia Mother’s Trust in Jackson, MS. Tubbs, and Nyandoro have been piloting cash transfer programs in their communities. The results are indisputable. When people have unconditional cash, they pay their bills and take care of their families. Two centuries of myths about the working poor and their deservedness have been busted.  

We are over ten weeks into this economic crisis and economists are predicting prolonged economic contraction with unemployment numbers to surpass 25%. People have to pay their rent and put food on the table. A one-time $1200 check helped, but bills are due again in May. They will be again in June. In July. And beyond. The situation is dire.

We don’t need more bailouts for big oil and hand-outs for banks and hedge funds. We do need a hand-up for the American people. 

Pelosi’s comments helped shift the narrative on Guaranteed Minimum Income and cash transfers. Now is the time to move from narrative shifts to policy change. It is time to send every American a regular, cash payment on a monthly basis for as long as this crisis lasts. 

Harish I. Patel is executive director of Economic Security for Illinois and co-led the Chicago Resilient Families Task Force. Ameya Pawar is a fellow with the Open Society Foundations and the Economic Security Project. He co-chaired the task force and served two terms as alderman of the 47th ward. 

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via Crain’s Chicago Business

May 5, 2020 at 04:10PM

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