California Experiment Shows Giving People Cash Dramatically Improves Lives

LOADING ERROR LOADING A study of a guaranteed income program in Stockton, California, found that after receiving an extra $500 in cash each month for a year, recipients had better job prospects and improved mental health. In a news conference on the study Wednesday, researchers said that 52% of the group that received the guaranteed income were able to cover a $400 unexpected expense, while only 28% of the control group who didn’t get the monthly extra cash could do so. What’s more, the guaranteed income enabled people to be able to afford taking some time off to find full-time employment: At the start, 28% of the group that was set to get the $500 per month had full-time jobs, and after the first year of the program, 40% were employed full time. SEED brought me back.” - guaranteed income recipient Tomas Vargas Amid the pandemic, millions of Americans have received direct cash payments from the federal government in the form of two rounds of stimulus checks. “We need a guaranteed income to ensure Americans can keep their homes, feed their families and cover their basic expenses.” Rutland pointed out that the results of the SEED program study show “cash works.” “This isn’t about a lack of evidence, it’s about a lack of political will,” she said.