In the field of economics, there is an ongoing debate regarding the effectiveness of universal basic income (UBI) as a solution to poverty. Proponents argue that UBI provides financial security, reduces poverty levels, and stimulates the economy, as individuals have more disposable income to spend. Opponents, on the other hand, contend that UBI may disincentivize work and could lead to inflation as monetary supply increases. Given these perspectives, consider the following statements regarding UBI: Statement 1: UBI can reduce poverty by providing a guaranteed income to all individuals, regardless of employment status. Statement 2: Implementing UBI could lead to higher inflation rates, which may undermine its effectiveness. Statement 3: The provision of UBI might encourage individuals to pursue more fulfilling work opportunities rather than focusing solely on economic necessity. Based on these statements and the context of the debate, which conclusion synthesizes the key elements to provide a comprehensive understanding of UBI?

Exam

AP English Language and Composition

Section

Difficulty

Multiple Choice

Understanding Universal Basic Income Effectiveness

Medium Synthesis Of Information Critical Thinking

In the field of economics, there is an ongoing debate regarding the effectiveness of universal basic income (UBI) as a solution to poverty. Proponents argue that UBI provides financial security, reduces poverty levels, and stimulates the economy, as individuals have more disposable income to spend. Opponents, on the other hand, contend that UBI may disincentivize work and could lead to inflation as monetary supply increases.

Given these perspectives, consider the following statements regarding UBI:

Statement 1: UBI can reduce poverty by providing a guaranteed income to all individuals, regardless of employment status.
Statement 2: Implementing UBI could lead to higher inflation rates, which may undermine its effectiveness.
Statement 3: The provision of UBI might encourage individuals to pursue more fulfilling work opportunities rather than focusing solely on economic necessity.

Based on these statements and the context of the debate, which conclusion synthesizes the key elements to provide a comprehensive understanding of UBI?

UBI is an ineffective policy as it does not address the root causes of poverty.

While UBI has the potential to reduce poverty, its success depends on the economic context and should be evaluated on a case-by-case basis.

The introduction of UBI will guarantee increased work motivation among recipients.

UBI will have an immediate positive economic impact in all regions regardless of local circumstances.

UBI should be rejected entirely as it is fundamentally flawed in design.

Hint

Submitted8.4K

Correct6.3K

% Correct74%