Residents will receive $ 500 per month for 18 months, with no binding conditions.
Stockton, California - Approximately 130km east of Silicon Valley will be the first city in the United States to participate in the Commonwealth Income Test (UBI). They will pay 100 people for $ 500 per month for 18 months, with no binding conditions.
UBI is supported by many technology leaders, such as Elon Musk, Richard Branson and Mark Zuckerberg. It is considered a viable way to reduce poverty and protect people from the effects of job loss and automation.
With a population of more than 300,000 people, the poverty rate of 25%, Stockton is considered a very suitable place to experiment with UBI. "Stockton is a city quite similar to the rest of the United States," explains Natalie Foster, co-founder and co-chair of the Economic Security Project.
The average household income is about $ 50,000 a year, or $ 57,000 USD. The population is also diverse, with more than 70% ethnic minorities.
Stockton Mayor Michael Tubbs supports UBI for "risk aversion from automation." "These companies are responsible for ensuring that people are not negatively affected, and that they must build a better community," he said.
Stockton people are very excited about the test program. "My email always has questions about the application process, start time or what to do," said Lori Ospina, director of Stockton Economic Empowerment Demonstration.
In the world, Stockton is not the first place to test UBI. Similar programs have been carried out by various organizations or governments, in Finland, Italy, Uganda, Cambodia and India.