Universal basic income: The plan to give $12,000 to every American adult

Tax megacorps like Amazon to fund universal basic income, says 2020 presidential candidate Andrew Yang.

ANDREW YANG: Universal basic income is an idea that's older than America, where Thomas Paine was for it at the founding of the country, he called it the citizen's dividend. Decades later Martin Luther King, Jr. was for it. He championed it before he was assassinated in 1968. And Milton Friedman and 1,000 economists signed a study in the late '60s saying this would be tremendous for both the economy and society. It received so much support that it passed the House of Representatives twice under Richard Nixon in 1971. And the only reason it didn't become law was that Democrats in the Senate wanted an even higher income threshold.

So a universal basic income has been with this country for a long time. And it actually became law in one state in 1982 where now every person in Alaska gets between $1,000 and $2,000 a year, no questions asked, from a petroleum dividend. It's wildly popular, has created thousands of jobs, has improved children's health, has decreased income inequality, and it was passed by a Republican governor, who made this argument to the Alaskan people: Who would you rather get the oil money the government, who's just going to mess it up, or you? And the Alaskan people said 'us', and now it's so popular that a majority of Alaskans which is a deeply conservative state generally the majority of Alaskans said they would accept higher taxes to pay for this dividend moving forward.

My plan, the Freedom Dividend, would pay every American adult, starting at age 18, $1,000 a month or $12,000 a year. This would push every American adult to just below the poverty line, which is $12,770 a year right now. But this money would get spent in Main Street businesses, on car repairs, food and tutoring for your kids, the occasional night out, a hardware store. It would go right back into our economy and would create 2 million new jobs, would grow the consumer economy by 8% to 10%, would make our families and communities stronger, would improved children's health and nutrition, would improve everyone's mental health and productivity. It would decrease domestic violence and hospital visits. So universal basic income is a powerful policy that helps improve human welfare, and that's why I'm proposing it as the centerpiece of my candidacy for president.

So the way I propose to pay for a universal basic income is based on a problem we have right now in our country, which is that more and more work and value is getting sucked up and soaked up by a handful of technology companies. Amazon, for example, is doing another $20 billion in commerce every year, and it's now pushing 30% of American malls and Main Street stores into closing. And so for the average American, you're seeing your Main Street stores close, and unfortunately being a retail worker is the most common job in the United States. The average retail worker is a 39-year-old woman making between $11 and $12 an hour. So the problem America is facing is that even as Amazon is soaking up more and more value, they're not paying much in the way of taxes. You probably saw the headline where last year Amazon enjoyed record profits and paid zero in federal taxes. And so the way we pay for a universal basic income is we put the American people in position to benefit from all this innovation by passing a value added tax, which is something that's already in effect in every other advanced economy. With a value added tax, the American public would receive a sliver of every Amazon sale, every Google search, every Facebook ad, every robot truck mile. And because our economy is now so vast at $20 trillion, up $5 trillion in the last 12 years alone, a value added tax at even half the European level would generate $800 billion in revenue which combined with current spending, economic growth, and putting this buying power into Americans hands, cost savings on things like incarceration, homelessness services, and emergency room health care, and then the value gains from having a stronger, more educated, more productive, more entrepreneurial population.

There's one study that showed that if you were to reduce poverty in this country, you would actually be increasing GDP by $700 billion just by making people stronger, healthier, better educated, and mentally healthier. And so we're going to be able to pay for this universal basic income if we put in a new tax that harnesses the gains of all these new technological innovations and brings them back to the American people.

  • The Freedom Dividend is a universal basic income proposal initiated by 2020 presidential candidate Andrew Yang.
  • Yang's plan would give $1,000 a month, or $12,000 per year, to every American over the age of 18, every year. This would get every U.S. adult just below the poverty line which is currently $12,770 a year.
  • How would it be funded? Yang suggests a value added tax on megacorps like Amazon (which paid zero tax last year). Funnel that money back into the American's people's hands to boost the economy, improve mental health, increase education and lower violence.





Global climate strike: Scenes from the #ClimateMarch protests

The week-long global protest, which is calling for an end to the age of fossil fuels, is taking place in more than 160 countries today.


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Politics & Current Affairs
  • Millions of people around the world are taking to the streets to demand more urgent action on climate change.
  • The protests come just days ahead of the 2019 UN Climate Action Summit.
  • Although it's unclear exactly how many people are participating, it's likely to be the largest climate protest ever.
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How do 80-year-old 'super-agers' have the brains of 20-somethings?

Most elderly individuals' brains degrade over time, but some match — or even outperform — younger individuals on cognitive tests.

Mind & Brain
  • "Super-agers" seem to escape the decline in cognitive function that affects most of the elderly population.
  • New research suggests this is because of higher functional connectivity in key brain networks.
  • It's not clear what the specific reason for this is, but research has uncovered several activities that encourage greater brain health in old age.

At some point in our 20s or 30s, something starts to change in our brains. They begin to shrink a little bit. The myelin that insulates our nerves begins to lose some of its integrity. Fewer and fewer chemical messages get sent as our brains make fewer neurotransmitters.

As we get older, these processes increase. Brain weight decreases by about 5 percent per decade after 40. The frontal lobe and hippocampus — areas related to memory encoding — begin to shrink mainly around 60 or 70. But this is just an unfortunate reality; you can't always be young, and things will begin to break down eventually. That's part of the reason why some individuals think that we should all hope for a life that ends by 75, before the worst effects of time sink in.

But this might be a touch premature. Some lucky individuals seem to resist these destructive forces working on our brains. In cognitive tests, these 80-year-old "super-agers" perform just as well as individuals in their 20s.

Just as sharp as the whippersnappers

To find out what's behind the phenomenon of super-agers, researchers conducted a study examining the brains and cognitive performances of two groups: 41 young adults between the ages of 18 and 35 and 40 older adults between the ages of 60 and 80.

First, the researchers administered a series of cognitive tests, like the California Verbal Learning Test (CVLT) and the Trail Making Test (TMT). Seventeen members of the older group scored at or above the mean scores of the younger group. That is, these 17 could be considered super-agers, performing at the same level as the younger study participants. Aside from these individuals, members of the older group tended to perform less well on the cognitive tests. Then, the researchers scanned all participants' brains in an fMRI, paying special attention to two portions of the brain: the default mode network and the salience network.

The default mode network is, as its name might suggest, a series of brain regions that are active by default — when we're not engaged in a task, they tend to show higher levels of activity. It also appears to be very related to thinking about one's self, thinking about others, as well as aspects of memory and thinking about the future.

The salience network is another network of brain regions, so named because it appears deeply linked to detecting and integrating salient emotional and sensory stimuli. (In neuroscience, saliency refers to how much an item "sticks out"). Both of these networks are also extremely important to overall cognitive function, and in super-agers, the activity in these networks was more coordinated than in their peers.

Default Mode Network

Wikimedia Commons

An image of the brain highlighting the regions associated with the default mode network.

How to ensure brain health in old age

While prior research has identified some genetic influences on how "gracefully" the brain ages, there are likely activities that can encourage brain health. "We hope to identify things we can prescribe for people that would help them be more like a superager," said Bradford Dickerson, one of the researchers in this study, in a statement. "It's not as likely to be a pill as more likely to be recommendations for lifestyle, diet, and exercise. That's one of the long-term goals of this study — to try to help people become superagers if they want to."

To date, there is some preliminary evidence of ways that you can keep your brain younger longer. For instance, more education and a cognitively demanding job predicts having higher cognitive abilities in old age. Generally speaking, the adage of "use it or lose it" appears to hold true; having a cognitively active lifestyle helps to protect your brain in old age. So, it might be tempting to fill your golden years with beer and reruns of CSI, but it's unlikely to help you keep your edge.

Aside from these intuitive ways to keep your brain healthy, regular exercise appears to boost cognitive health in old age, as Dickinson mentioned. Diet is also a protective factor, especially for diets delivering omega-3 fatty acids (which can be found in fish oil), polyphenols (found in dark chocolate!), vitamin D (egg yolks and sunlight), and the B vitamins (meat, eggs, and legumes). There's also evidence that having a healthy social life in old age can protect against cognitive decline.

For many, the physical decline associated with old age is an expected side effect of a life well-lived. But the idea that our intellect will also degrade can be a much scarier reality. Fortunately, the existence of super-agers shows that at the very least, we don't have to accept cognitive decline without a fight.


Millennials and the rise of tiny homes

Are tiny homes just a trend for wealthy minimalists or an economic necessity for the growing poor?

Photo credit: Cyrus McCrimmon / The Denver Post via Getty Images
Politics & Current Affairs
  • The tiny home movement has been popular on social media sites, often portraying an idyllic lifestyle that's cheaper and better for the environment without sacrificing aesthetics.
  • But tiny homes may become the answer to a growing population and growing inequality.
  • As the movement continues to build up steam, one has to wonder whether it's a housing crisis solution with a new coat of paint.

Tiny homes. They're the watchword of the Home & Garden network, at once an Instagrammable, envy-inducing lifestyle and an unfortunate necessity for a generation struck by a recession, historically high inequality, and loans taken out for an ostensibly necessary education that's failed to really net any benefits.

But the question is, which are they? A symbol of a smarter, more environmentally-conscious, humbler generation — or a symbol of one that's had to make do with less than its predecessors? (See: "Millennials buy the things their parents did — but they're much poorer.")

Downsizing housing and hubris

Image source: Mike Morgan / For The Washington Post via Getty Images

Will tiny homes look like this in the future -- smaller and more efficient but still beautiful?

In the U.S., things are just bigger, and houses are no exception. The median size of a single-family home in the U.S. peaked in 2015 at 2,467 square feet. Compared to other parts of the world — particularly Europe — this is a massive figure. There's a variety of reasons for this; one, for example, is that Americans began driving early and often, which transformed the design of their cities and suburbs. Developers could build outside of urban centers where the land was cheaper and more plentiful, enabling bigger houses to be bought.

In addition, the idea of having a lot of space seems to be an appealing one to the former European colonies — where Europeans have often lived in more cramped, repurposed older buildings, Australians, Canadians, and Americans had the opportunity to seize land (despite it already being occupied) and build new, sprawling settlements throughout it. The prosperity that the America saw in the 20th century didn't hurt, either; why not build big if you've got the money to spare?

But a considerable amount of this space is wasted. A UCLA study found that the majority of people spend their time in the kitchen or around the television and very rarely use the living room or porch. As a result of these extra, unused spaces, more resources are wasted on construction, and energy consumption is double what a family would need if their house only had the rooms that they actually use.

Smaller, more energy-efficient houses are appealing to a growing population of minimalists and resource-conscious individuals. In 2017 alone, the sales of tiny homes increased by 67 percent. Coming in at under 400 square feet on average, these houses are also understandably cheap — for tiny homes on wheels, the average cost is $46,300, while those with a foundation cost on average $119,000. As a result, 68 percent of tiny homeowners don't even have a mortgage.

Downsizing out of necessity

Tiny homes

Image source: George Rose/Getty Images

A community of tiny homes for homeless people known as "Nickelsville" in Seattle.

On the other hand, the group of people drawn to tiny homes isn't just homogenously composed of wealthy minimalists looking to reduce their consumption while still appearing trendy. In 70 percent of the U.S., the average worker can't afford a home, one-third of adults are a $400 bill away from financial difficulty, and a quarter have no retirement savings whatsoever.

Under these conditions, downsizing may be the only viable method to survive. Consider, for instance, how cities such as Seattle, Detroit, and Denver are constructing tiny homes as emergency shelters or transitional housing for the homeless. There are also the many retirees that had their savings wiped out by the Great Recession who now live nomadically in RVs and modified vans. This tiny-living trend also has its Instagram cheerleaders, but the reality of it is less idyllic. Journalist Jessica Bruder and author of Nomadland related an anecdote to MarketWatch illustrating the nature of nomadic tiny living:

"I talked to one couple, Barb and Chuck. He had been head of product development at McDonald's before he retired. He lost his nest egg in the 2008 crash and Barb did, too. One time, Barb and Chuck were standing at the gas station to get $175 worth of gas and the horror hit them that their account had $6 in it. The gas station gentleman said 'Give me your name and driver's license and if you write a check, I will wait to cash it.' He waited two whole weeks before he deposited it."

This might become a reality for more people in the future as well. Inequality widens when the rate at which wealth grows — say, your stocks or the price of your house — grows faster than the rate at which wages do. Research suggests that wealth is growing at a breakneck pace, keeping in line with economist Thomas Picketty's prediction of a dramatically inequal future.

Solutions for this will need to be found, and many municipalities or private individuals may find such a solution in constructing tiny homes. Homelessness is a powerful, self-perpetuating force, and having shelter is an obviously necessary step to escape poverty.

Regrettably, if tiny homes are being driven primarily by resource-conscious but fundamentally economically secure individuals, we can expect the trend to remain just that; a trend. In a few years, fewer and fewer tiny houses will be constructed and sold, and eventually there will just be a small contingent of diehard proponents of the lifestyle. If, however, the tiny home trend is being driven primarily by economic inequality, then we can expect it to stick around for a while.