Abstract: From Scarcity to Security: Mental Well-Being Outcomes in the First Two Years of a Basic Income Pilot (Society for Social Work and Research 28th Annual Conference - Recentering & Democratizing Knowledge: The Next 30 Years of Social Work Science)

Schedule:

Sunday, January 14, 2024

Independence BR C, ML 4 (Marriott Marquis Washington DC)

* noted as presenting author

Leah Hamilton, PhD, Associate Professor, Appalachian State University, Boone, NC

Victoria Choplin, MSW Student, Appalachian State University, NC

Taylor Paputseanos, Marriage and Family Therapy Graduate Student, Appalachian State University, NC

Background

Universal Basic Income (UBI) is a policy proposal that would provide a regular, unconditional cash payment to every individual in a country or geographic area. While there is limited research exploring the mental health effects of UBI pilots, some common findings emerge, including UBI's potential to counter the negative effects of poverty on cognitive function, increase the ability to spend time improving relationships, reduce stigma, and increase feelings of citizenship. In this paper, we describe the mental health outcomes of participants in the HudsonUP pilot, a five-year basic income initiative for low to mid-income residents of Hudson, NY.

Methods

The study is a mixed-method longitudinal constructivist, phenomenological approach, focusing on understanding the subjective, lived experience of individuals. Participants are 75 individuals receiving an unconditional monthly income of $500 for five years from HudsonUP. Recipient selection involved a lottery system for residents of Hudson, NY, aged 18 or over, with documented income below the area median income. Data collection includes biannual, semi-structured, in-depth interviews and quantitative surveys, including the Kessler 10 scale to measure psychological distress. The study aims to identify common themes and patterns that emerge from these individual experiences and to provide a holistic understanding of the phenomena as it is experienced by those who have lived them.

Results

Participants reported a reduction in financial stress, improved personal relationships, a renewed sense of hope, increased generosity and connectedness, and gratitude for the financial stability that the program provided. Through the lens of the psychological theory of scarcity, findings indicate that the HudsonUP program has improved the overall mental well-being of the participants by reducing the stress and anxiety associated with financial insecurity and helping them to meet their basic needs, pursue further education, and career opportunities. Despite the challenges of the ongoing pandemic and inflation, participants expressed gratitude for the "undercurrent of stability" provided by the program.

Conclusions and Implications

The study provides important nuance to the theory of scarcity, reinforcing that psychological scarcity is a symptom, not a cause, of economic scarcity. Although the study has limitations, such as a small sample size, it highlights the potential of basic income programs to improve the lives of low-income individuals. The study's findings suggest that poverty interventions designed with the assumption that recipients are in poverty due to their own choices are misguided.