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by keithtom
1345 days ago
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Not quite the same. A lot of “give money away” programs look the same. But the incentive design is important. This program is over 3 years and is monthly. This means a few things:
1) if you make a mistake a blow 1k on stupid things, you have a chance to learn next month
2) it is over a 3 year period, which allows the recipient to make decisions like try go to school to improve their overall productivity in society in the long run When you do cash relief in lump sums and without any long term reliability, the above effects are diminished. |
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So, it might be the case that these are exactly the people who are motivated and can realize huge benefits from a little extra cash as they're trying to start their career. The obvious negative alternative is that they're coming from vulnerable backgrounds, and having easy cash in their pocket might lead them back to the same troubles that they are trying to escape from. Well, I guess that's the reason for the pilot program!