Submit your papersSubmit Now
For Enquiries: [email protected]
IIARD LogoIIARD

A Review of Legal and Policy Evidence on Guaranteed Income Programs as Poverty Alleviation Tools in The United States

Blessing Chika Jones, Michael Ominyi

Abstract

Guaranteed income programs, which provide regular, unconditional cash payments to defined populations, have expanded from a fringe policy idea to one of the most widely piloted antipoverty interventions in the United States. Since 2018, more than one hundred and sixty demonstrations have operated across at least eighteen states and the District of Columbia, generating an unusually rich body of experimental evidence alongside an equally distinctive body of legal conflict. This review synthesizes two literatures that are rarely examined together: the empirical evaluation record on guaranteed income as a poverty alleviation tool and the legal and policy framework that governs whether, where, and how such programs may lawfully operate. The empirical record shows consistent improvements in income stability, food security, housing stability, and psychological wellbeing, with modest and heterogeneous effects on employment and mixed findings on longer term health outcomes. The legal record shows a rapidly hardening set of constraints, including state constitutional public purpose and gift clause challenges, a wave of state preemption statutes prohibiting local programs, unresolved federal tax treatment, and benefit interaction rules that can penalize participants in means tested programs. The review concludes that the durability of guaranteed income as a poverty alleviation tool now depends less on the strength of its outcome evidence than on the resolution of contested questions of state constitutional law, local government authority, and federal program coordination. Implications for program design, legislative drafting, and future research are discussed.

Keywords

guaranteed incomeunconditional cash transferspoverty alleviationstate preemptionpublic purpose doctrinesocial welfare policy

References

Adelanwa, A., Basnet, A., & Anene, U. N. (2023). Predictive analytics models for financial risk detection and fraud prevention in public systems. International Journal of Advanced Multidisciplinary Research and Studies, 3(6). https://doi.org/10.62225/2583049X.2023.3.6.5969 Adelanwa, A., Basnet, A., & Anene, U. N. (2024). Performance intelligence models for optimization and outcome measurement in large scale public services. Shodhshauryam, International Scientific Refereed Research Journal, 6(1). Akee, R. K. Q., Copeland, W. E., Keeler, G., Angold, A., & Costello, E. J. (2010). Parents' incomes and children's outcomes: A quasi-experiment using transfer payments from casino profits. American Economic Journal: Applied Economics, 2(1), 86-115. Akinse, S. G., Ekechi, N. V., & Ohanebo, C. G. (2023). Integrative maternal health model: Addressing socioeconomic inequities in rural populations. International Journal of Advanced Multidisciplinary Research and Studies, 3(6), 2832-2838. Annan, A. O. (2022). Data privacy governance models for cross-border digital platforms. International Journal of Multidisciplinary Research and Growth Evaluation, 3(6), 949-964. Annan, A. O. (2024). Algorithmic accountability and trade secret protection in artificial intelligence. Shodhshauryam, International Scientific Refereed Research Journal, 7(5), 315-347. Annan, A. O. (2025). Automated decision-making and anti-discrimination compliance under U.S. law. International Journal of Advanced Multidisciplinary Research and Studies, 5(2), 2522-2540. Bartik, A. W., Broockman, D. E., Krause, P. K., Miller, S., Rhodes, E., & Vivalt, E. (2024). The impact of unconditional cash transfers on consumption and household balance sheets: Experimental evidence from two US states (NBER Working Paper No. 32784). National Bureau of Economic Research. Bidadanure, J. U. (2019). The political theory of universal basic income. Annual Review of Political Science, 22, 481-501. Briffault, R. (2018). The challenge of the new preemption. Stanford Law Review, 70(6), 1995- 2027. Castro Baker, A., Martin-West, S., Samra, S., & Cusack, M. (2020). Mitigating loss of health insurance and means tested benefits in an unconditional cash transfer experiment: Implementation lessons from Stockton's guaranteed income pilot. SSM - Population Health, 11, 100578. Center for Housing and Homelessness Research. (2024). The Denver Basic Income Project: Year two research report. University of Denver, Graduate School of Social Work. Creamer, J., Shrider, E. A., Burns, K., & Chen, F. (2022). Poverty in the United States: 2021 (Current Population Reports No. P60-277). U.S. Census Bureau. Economic Policy Institute. (2025, March 6). Updated EPI tracker shows more states obstructing progress on workers' rights. https://www.epi.org/blog/updated-epi-preemption-tracker/ Florida House of Representatives. (2025, April 9). Bill analysis, HB 1193: Universal basic income programs (Storage No. h1193a.IAS). https://www.flsenate.gov/Session/Bill/2025/1193/Analyses/h1193a.IAS.PDF Governing. (2025, May 5). Texas lawmakers step up preemption of local governments. https://www.governing.com/policy/texas-lawmakers-step-up-preemption-of-local- governments JHSP P-ISSN 2695 2416 Hasdell, R. (2020). What we know about universal basic income: A cross-synthesis of reviews. Stanford Basic Income Lab. Hoynes, H., & Rothstein, J. (2019). Universal basic income in the United States and advanced countries. Annual Review of Economics, 11, 929-958. Jones, D., & Marinescu, I. (2022). The labor market impacts of universal and permanent cash transfers: Evidence from the Alaska Permanent Fund. American Economic Journal: Economic Policy, 14(2), 315-340. Kumuyi, O., Uzoka, E., Akeju, B., & Ozowara, D. E. (2024). Framework for privacy-focused digital identity verification supporting financial inclusion in Africa. International Journal of Advanced Multidisciplinary Research and Studies, 4(6), 3150-3162. https://doi.org/10.62225/2583049X.2024.4.6.6005 LawAtlas. (2025). State preemption laws (Temple University Center for Public Health Law Research, State Preemption Project). https://lawatlas.org/datasets/preemption-project Leonine Public Affairs. (2025, October 7). States debate the future of guaranteed income programs. https://leoninepublicaffairs.com/states-debate-the-future-of-guaranteed- income-programs/ Local Solutions Support Center. (2025, June 6). Abusive preemption in 2025 state legislative sessions: Laws erode local authority on immigration, higher education, public health, and more. https://www.supportdemocracy.org/ Marinescu, I. (2018). No strings attached: The behavioral effects of U.S. unconditional cash transfer programs (NBER Working Paper No. 24337). National Bureau of Economic Research. Miller, S., Rhodes, E., Bartik, A. W., Broockman, D. E., Krause, P. K., & Vivalt, E. (2024). Does income affect health? Evidence from a randomized controlled trial of a guaranteed income (NBER Working Paper No. 32711). National Bureau of Economic Research. Moffitt, R. A. (2003). The negative income tax and the evolution of U.S. welfare policy. Journal of Economic Perspectives, 17(3), 119-140. Office of the Texas Attorney General. (2024a, April 23). Attorney General Ken Paxton secures stay from Texas Supreme Court stopping Harris County's unlawful guaranteed income scheme [Press release]. https://www.texasattorneygeneral.gov/ Office of the Texas Attorney General. (2024b, September 19). Attorney General Ken Paxton sues Harris County to stop new unlawful guaranteed income scheme that violates Texas Supreme Court's previous ruling [Press release]. https://www.texasattorneygeneral.gov/ Parolin, Z., Collyer, S., Curran, M. A., & Wimer, C. (2021). Monthly poverty rates among children after the expansion of the Child Tax Credit (Poverty and Social Policy Brief, Vol. 5, No. 4). Center on Poverty and Social Policy, Columbia University. Stanford Basic Income Lab. (2025). Guaranteed income pilots dashboard. Stanford University and Center for Guaranteed Income Research. https://guaranteedincome.us/ The Texas Tribune. (2024, April 23). Texas Supreme Court temporarily blocks Harris County's guaranteed income pilot program. https://www.texastribune.org/2024/04/23/texas- supreme-court-guaranteed-income/ Troller-Renfree, S. V., Costanzo, M. A., Duncan, G. J., Magnuson, K., Gennetian, L. A., Yoshikawa, H., Halpern-Meekin, S., Fox, N. A., & Noble, K. G. (2022). The impact of a poverty reduction intervention on infant brain activity. Proceedings of the National Academy of Sciences, 119(5), e2115649119. JHSP P-ISSN 2695 2416 U.S. Congress. (2025). Guaranteed Income Pilot Program Act of 2025, H.R. 5830, 119th Congress. https://www.congress.gov/bill/119th-congress/house-bill/5830 U.S. Department of the Treasury. (2022). Coronavirus State and Local Fiscal Recovery Funds; Final rule. Federal Register, 87(18), 4338-4454. Vivalt, E., Rhodes, E., Bartik, A. W., Broockman, D. E., & Miller, S. (2024). The employment effects of a guaranteed income: Experimental evidence from two U.S. states (NBER Working Paper No. 32719). National Bureau of Economic Research. West, S., & Castro, A. (2023). Impact of guaranteed income on health, finances, and agency: Findings from the Stockton randomized controlled trial. Journal of Urban Health, 100(2), 227-244. Widerquist, K. (2005). A failure to communicate: What (if anything) can we learn from the negative income tax experiments? Journal of Socio-Economics, 34(1), 49-81.