Association for Public Policy Analysis & Management

This paper aims to shape the international policy debate around universal basic income (UBI) and guaranteed minimum income (GMI) and provide an implementation framework for municipalities. No jurisdiction provides a UBI or GMI on an ongoing, permanent basis. Nevertheless, the idea has captured the popular imagination, and dozens of pilot programs have been launched across the globe to test the concept. Such programs promise to effectively and efficiently eliminate extreme poverty. Numerous studies from around the world have shown that cash transfer programs are associated with a host of positive social outcomes, including raising household income, improving mental health outcomes and increasing school attendance rates. However, to date the idea of a UBI or GMI has largely been relegated to philosophical discussions and time-limited trials.

This analysis studies the feasibility of implementing a full-scale UBI or GMI on an ongoing, permanent basis in the District of Columbia. The analysis includes policy research and economic modeling, and it is innovative for addressing the challenges that a local government would face in implementing a UBI or GMI. It seeks to answer the following questions: What does it cost households to cover their basic living expenses? What are the strengths and weaknesses of the existing social safety net? What administrative and federalist hurdles would a UBI or GMI face? Could existing social safety net programs be altered to provide similar outcomes? How could the District fund such an initiative? What would be the impacts of such a program on the District’s economy?