It is long past time for the city of Philadelphia to implement a guaranteed basic income program for families living below the poverty line. Studies have shown the efficacy of such programs to not only deliver underprivileged and underserved families out of poverty, but to also stimulate local economies via the increased purchasing power of those receiving the benefits.
A 2024 study by the Inclusive Economy Lab at the University of Chicago identifies over 120 guaranteed basic income pilots across the country. Philadelphia has seen its share of pilot programs, including a Philly Joy Bank plan aimed at reducing racial disparities in birth outcomes by offering 250 Philadelphia mothers additional assistance during their pregnancies. The city also began something akin to a basic income program that offered 51 recipients of E-TANF support an additional $500 per month for one year. A second group of 239 families received an additional $50 per month.
While these programs have undoubtedly provided needed assistance to Philadelphians, they are smaller plans aimed at specific groups. A larger scale implementation is required to realize the needed improvements on the socioeconomic status of the city’s most vulnerable residents. This is imperative now, as inflation has limited purchasing power, the city continues to increase taxes and fees on residents, and wages have stagnated. Over the last five years, Philadelphians have seen a 50% increase in water rates, three property tax reassessments that have led to higher taxes, and other utility rate increases…