I am a huge fan of Basic Income, and I am going to write about it a lot, as it has the potential to cushion the blow to capitalism that will occur from the dramatic amount of automation that is going to occur incredibly rapidly in a number of vulnerable sectors of the economy. With that said, however, such a policy will have societal impacts, and could be used by governments to control populations. I intend to outline how different methods of basic income distribution would allow for a government to control populations and population density.
The first way that a government can use the tool of basic income to adjust populations would be to adjust the amount given for ages. By giving a family basic income for children, you can encourage population growth, as it would allow for people to more easily care for children, and by increasing the amount that a family gets per child, you can further increase the amount of encouraged population growth, as the need to provide additional income per child to support the family becomes less necessary. Inversely, by not providing credit for children under 18, it will change the incentive structure for individuals, making it more economically preferable to share an apartment, or a house with other adults in a communal situation, discouraging people from having children in favor of adding the basic incomes of other adults together to create a more comfortable living situation for those involved.
Let’s put some numbers to it to make it a little more clear. Say each person 18-64 was provided with $1000 a month for basic income. A 2-bedroom apartment in my current city of Denver can cost anywhere from $1100 a month to around $1600 a month, though there are extreme cases outside of that range. 2 individuals could live in a place together, cheaply, and with part-time income outside of that. With a child credit, that bedroom could feasibly be used for a baby, even on a low income and be provided for comfortably. Without this incentives for children though, the much more likely option is that 4 adults would pool their resources, providing a household basic income of $4000 a month, and leaving over $2000 each month in unused basic income for covering other costs, or to use to spend, save or invest, to say nothing for each individual’s other sources of income. Even if each individual in the household earns the current poverty line in income, around $12,700 a year, this would still translate into a household income of around $96,000.
It’s easy to see how some people would use the ability to live on their own barely scraping by, but having the space and privacy to themselves, but how others who value privacy a little less would be attracted to the reduced costs of communal living, and with more extreme examples, such as with a 3 or even 4 bedroom living quarters creating very-high density population areas, where you could have up to $8000 in basic income a month, with rent amounts much lower proportionally.
There are ways to adjust this a little, if a government wants to adjust the locations of its population centers or to encourage migration from one part of the country to another. Basic income allows for greater freedom of movement, but additionally, allows the government to shift people in a more desirable way.
Say there is an area where growth has been stymied and the governing body wants to increase the growth rate. By increasing the basic income amount for the area, say up to $1100 a month, that small increase should attract people from other areas, where the amount is lower. An area that has experienced too much growth on the other hand, where perhaps living conditions have worsened, perhaps too high of a population density, too much pollution or smog, or simply not enough room to continue growing at its current rate, can be counteracted by this same method. Either the funding for the surrounding countryside can be increased to encourage people to move to more sparse regions, or in more extreme cases, the amount of income could simply be reduced in that area, even only a small amount lower, such as $900 a month, though this would likely be met with some discontent.
This potential for control is an important factor to keep in mind when considering policy decisions around basic income, as well as its potential for abuse in more controlling regimes. Basic income has the potential to radically free up resources in an economy, to drive innovation, and buffer society against the impacts of technology, but will come with its own set of dangers and potential pitfalls if not considered carefully.