Would a basic income 'corrupt' the poor?

By Tyler Prochazka

In the 90s, the United States implemented some of the most far-reaching changes to welfare in modern American history. Bill Clinton worked with Republicans to “end welfare as we know it” and eliminate welfare’s supposed corrupting influence on the poor. Except the “corrupting influence” of government assistance never existed.

A recent article by the New York Times pointed out that recent research contradicts the theory that a social safety net undermines positive behavior among the poor.

 

The Massachusetts Institute of Technology found that cash-assistance programs in six low-income countries did not discourage work. Furthermore, a World Bank review of 19 quantitative studies found that cash-assistance in Latin America, Asia and Africa was not wasted on “temptation items,” such as tobacco and alcohol.

Read more here.