Show Notes
In this episode of Maine Policy Matters, Daniel Soucier sits down with Dr. Michael Howard to discuss the confluence of Universal Basic Income and the novel coronavirus pandemic. [00:00:00] Daniel Soucier: Hello and welcome back to Maine Policy Matters, the official podcast of the Margaret Chase Smith Policy Center at the University of Maine, where we discuss the policy matters that are most important to Maine's people and why Maine policy matters at the local, state, and national levels. My name is Daniel Soucier and I'll be your host. [00:00:26] On June 19th, 2019 governor Janet Mills signed. LD 1324 into law. The bill created a committee to study the benefits and feasibility for social safety net reform in Maine. That could include a basic income program for the state. On the national political stage, entrepreneur, Andrew Yang made the Freedom Dividend a $1,000 per month stipend for every American adult. [00:00:52] The major pillar of his 2020 Democrat primary campaign recently due to the intense economic distress felt across the world due to the Coronavirus pandemic countries have embraced experimenting with basic income to address workers and families battered by the virus. In the CARES Act, Congress appropriated direct cash payments of $1,200 from most adults and $500 for each child. In Spain, the government is moving forward to create a permanent basic income program to address the long-term economic stress brought on by Covid-19. We sat down with Dr. Michael Howard, a philosopher at the University of Maine, who is the co-editor of the Journal Basic Income Studies, and is also the national coordinator for the United States Basic Income Guarantee Network to find out what basic income is, what type of pilot programs exist in the United States and across the globe, and the confluence of basic income policies with the Coronavirus pandemic. [00:02:02] Michael, thank you so much for joining us today to discuss UBI as a policy matter at the local, state, and national level, and why UBI matters for the state of Maine. [00:02:13] Michael Howard: Yeah, I'm glad to be here. Thanks for inviting me. [00:02:15] Daniel Soucier: Michael, I've noticed in just about every media outlet over the past year, there has been discussions of universal basic income, which some folks refer to as UBI or basic income, and we'll refer to it in all those ways throughout this podcast. [00:02:30] A lot of times these media reports tend to be vague and oftentimes they mischaracterize universal basic income. So can you explain for us the major tenants of UBI and does it have supporters on both sides of the political aisle? [00:02:46] Michael Howard: Yeah. The universal basic income as scholars refer to it is one kind of minimum income guarantee. [00:02:54] It's distinctive features are that it is individual. It goes to each person and not to households. It is universal. Everyone gets it regardless of age, wealth, or income. And it is not means tested. It is also unconditional. It is not conditional on any behavioral requirements such as willingness to work or look for work or having been laid off or pursuing some particular course of study or approved volunteer work. [00:03:24] And it is in the form of cash rather than an in-kind benefits such as food stamps. There are variants of a minimum income guarantee. And when you mentioned the confusion sometimes people use basic income to refer to some other forms of minimum income guarantee, such as a negative income tax, which is like a basic universal basic income, but it is phased out as income from other sources rises. [00:03:51] So it goes to the people who need it, but not to people who were above a certain threshold. And the earned income tax credit is similar to a negative income tax, but it is in addition to being phased out at higher incomes, is conditional on working for wages and it phases in as one earns more income and then phases out as one's income continues to rise. [00:04:15] So
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