Many people are asking if these payments will become a type of universal basic income in the future. According to the report, evidence from the previous year suggests that stimulus checks are the simplest and most effective investments in helping Americans get through this crisis, bringing more people out of poverty than any other single program.
The Internal Revenue Service and the Treasury Department have revealed that 1.8 million additional stimulus checks were given under President Joe Biden's American Rescue Plan, bringing the total number of checks given to 167 million with a total value of $391 billion.
Stimulus checks are the most effective way to help Americans
These additional checks are part of the third phase of stimulus. Congress has already approved the distribution of two further direct cash payments to most eligible Americans: a $1,200 check in the spring of 2020 and a $600 check in December.
Combined with other government-issued funds like the highly anticipated expanded child tax credits, which will give eligible parents a $250 or $300 payment each month through the end of the year, many are wondering if these stimulus checks will eventually turn into some form of universal basic income (UBI).
UBI, which was a highlight of former Democratic presidential candidate Andrew Yang's campaign, focuses on guaranteeing that all individuals, regardless of job status, have a minimum income level to satisfy basic living requirements. Per National Interest, Yang promoted the notion of donating $1,000 to every adult in the United States every month, during his campaign.
According to a Pew Research Center report done this summer, "the idea of the government giving a universal basic income for all adult Americans draws widespread and strong criticism among Republicans, but is widely favored by Democrats."
Despite Republican opposition, numerous polls and research show that recurring payments are needed to financially support millions of Americans who experience poverty. More rounds of stimulus checks have the potential to raise twelve million Americans out of poverty.
According to the report, evidence from the previous year demonstrates that stimulus checks are the quickest and most effective investments in helping Americans get through this crisis, raising more individuals out of poverty than any other single policy.
Petition for a new stimulus check renewed calls for universal basic income
Rep. Ilhan Omar (D-MN) has advocated for $2,000 monthly stimulus checks until the COVID-19 outbreak is over. Omar and 55 other Democrats signed a letter to President Joe Biden in January pushing him to endorse $2,000 monthly stimulus checks. "A $2,000 one-time payment is insufficient. The American people are relying on us to bring about transformational change, and we must up the situation by making monthly payments of $2,000," Omar said, as per Forbes.
Universal basic income is a type of social security that provides people with a set amount of money. It is not a new concept as Martin Luther King, Jr. endorsed universal basic income, and Yang made it a key focus of his campaign.
Yang's plan aims to give everlasting recurrent money every month and is unrelated to the COVID-19 pandemic or any other financial crisis. Yang's idea dubbed the "Freedom Dividend," is as follows:
- Every person over the age of 18 in the United States would get $1,000 each month, or $12,000 per year.
- There are no conditions attached to receiving the funds.
- These are guaranteed payments that will never stop.
Related Article: New Stimulus Checks Are Coming; Better Than Previous Payments. Here Is How to Get Yours
