UBI and SIS

In the contemporary world, the introduction and tremendous evolution of artificial intelligence have led to the innovation of products such as robots which has a significant impact on society. In order to maintain the living standards of individuals, two ideas are proposed, the Universal Basic Income (UBI) and social investment stipend (SIS) which is set to benefit everyone in society regardless of their income or circumstance. The implementation of UBI will be very advantageous in society for it will reduce poverty, income inequality and the physical mental health of the general population. In addition, it avoids the disincentive to work with means-tested advantages (Banerjee, Niehaus & Suri, 2019). A UBI can also supply a Social Security Net with minimum administrative costs in times of crisis. On the other hand, SIS allows individuals to receive support and care based on their contribution to society.

While these initiatives may be to the community, there are concerns that it may encourage laziness in the society, and may increase poverty in the society for resources are spread to everyone who deprives those that need it the most (Hanna & Olken, 2018). UBI and SIS are also expensive and may lead to labor and skills shortages. However, in an era of robotics and decreased human manpower, UBI and SIS can be implemented by considering specific groups in the society affected by technology. The groups that should receive UBI and SIS benefits include non-working parents, caregivers, and unemployed youths.