For too lang, those in poverty around the globe have suffered and been forced to eat less than a balanced and nutritional meal would require. What’s even worse is that this includes children. Vulnerable children who have to put up with the cruelty of hunger for no reason other than the fact that their parents are poor. This is unacceptable. 7 months ago, we set out on a journey to solve the problem of child hunger. We were given a prompt. lt read:
„Brain food: How can a government best ensure that all children have enough to eat?“
In those last 7 months, we have contemplated this hard, considering many different policy measures, carefully thinking about their feasibility and practicality, we have talked to experts, devised mathematical models, all to bring us to our end solution.
Our solution is a UBI. This will be a safety net, which will guarantee that no resident will have an income of less than f10.000 per year, and that everyone will have enough money to live and survive.
This provides benefits not only in the economic sense (in terms of GDP), but also socially. Alleviating poverty brings many benefits for those in need, especially taking into account mental health and societal cohesion.
We have considered data from many studies carried out on the topic of UBI, conducted within a multitude of diverse communities from Alaska to even Namibia, which showed categorically the benefits of the implementation of a UBI.
We see our solution increasing GDP growth, we do this by making use of differences in what is known as the „Marginal Propensity to Consume“, which practically means that we can boost output, solely by shifting money around in the economy and directing it towards people who need it most and will spend more of the money that we give them.
We tackle the problem of a ceiling that sometimes exists in the UK benefits system by slowly decreasing payments based on income. We do this in such a way that any increase in pre-UBI income always results in an increase in their post-UBI income making sure households are never financially worse off after trying to earn more by performing more work. This allows us to stop UBI payments at f20,000 without creating a barrier beyond which an increase in income will lessen a household income while at the same time ensuring residents a f 10,000 safety net.