The conservative model exacerbates inequality

If the minimum wage isn’t enough for working families to cover their basics, and many state and federal benefits remain difficult to access, how can we better support residents struggling to make ends meet? Some have suggested giving families money directly to meet their basic needs. There are several possible approaches:

Universal basic income, where everyone gets a payment regardless of private income or assets

Guaranteed minimum income, which raises households’ income to a particular threshold, so for each additional dollar of earnings the minimum income cash benefit would be reduced

Earned Income Tax Credit, which may enable individuals and families with low to no income to receive a greater tax refund from the IRS

Negative income tax, which allocates a tax credit to tax filers whose income falls below a particular threshold

The goals and intentions behind who is proposing these ideas and why matter greatly. On the left are proposals that build on current supports offered to families. On the right are proposals that would reduce or eliminate the social safety net, providing guaranteed income but at the expense of access to other programs, essentially cutting benefits. A conservative model could actually amount to a redistribution of money upward, with families who need the most support receiving significantly reduced benefits while families who don’t need support getting additional funds. While it’s beneficial to boost working families’ incomes, eliminating existing social services such as access to health care or nutrition supports, would only exacerbate the current crisis.