California City Pays Residents TO EXIST
Article by FLN Staff.
Stockton, Calif. really likes Keynesianism, so much so that they went bankrupt a few years ago because they were convinced that they could build stadiums and other developments, and tax dollars would rain from the sky. Well, that didn’t work, so on to the next experiment: the universal basic income of $500 monthly per low-income resident. Really.
Stockton was already famous for offering its municipal unions platinum plated healthcare and pensions; you’d think they’d learn. This time the policy will bestow the largess on low-income residents, in a quantity to be determined. That number probably won’t be very large, here’s why: 23 percent of the 307,072 population of Stockton lives below the federal poverty line according to the Census Bureau. If that entire population claimed the $6,000 annual benefit, Stockton would be on the hook for $436,656,000. That’s nearly 70 percent of their already staggering $625,603,982 budget. The initial program and is a pilot, so we can expect the numbers to be skewed and only a small portion of the population to ‘benefit.’
Stockton Economic Empowerment Demonstration (SEED) proposed by Mayor Tubbs, is in its infancy and is sure to get positive headlines. There’s no way that Stockton can afford that, or that they would forfeit most of their city services to pay for it. The only certainty is that Stockton doesn’t elect leaders for their math skills.
Image Credit: By Henri Sivonen from Helsinki, Finland (flickr: California State Capitol) [CC BY 2.0 (http://creativecommons.org/licenses/by/2.0)], via Wikimedia Commons