Can Monthly Cash Payments Make Our Economy More Equitable?

Around the world, students borrow money to pay for college, but, in the United States, students are more likely to fall behind on loans. Australia may offer some lessons: borrowers in Australia only start paying back their loans once their earnings reach $40,000, and beyond that they pay four percent of their income until the loans are repaid. The system does not penalize borrowers when they face economic hardship.

Over two million baby boomers own their own companies, and with retirement looming, the government stepped in with a solution. A portion of a 2018 federal bill included language that will push the Small Business Administration to help baby boomers transition ownership of their companies to their employees if they wish. This will mitigate job loss often associated with a retiring business owner putting the company up for sale. Employee owners on average make a higher salary and have higher job stability, supporting the idea that employee ownership is beneficial for everyone involved, as well as for the econom

The Golden Girls shelter has been providing meals, medical aid, and other support services for women with children who are experiencing homelessness. Since the Golden Girls living space opened, the program has served a total of 50 women ranging in age from the early 50s to late 70s. While at the shelter, staff members help them complete paperwork so they can receive Social Security payments, pensions, or alimony, and apply for affordable housing. They’re also provided medical care, counseling, and assistance finding jobs.

Affordable housing communities serve various low-income populations from seniors to veterans to minorities and families. Gaining a safe and affordable place to live — with rent capped at 30% of their gross income — can help turn people’s lives around as affordable housing communities like Hope Cooperative connects residents with services like healthcare, job, and life skills to get back on their feet.

A partnership between Minnesota’s state parks and libraries in low-income communities is providing free entry passes to the parks to allow those who could not otherwise afford to visit a chance to do so.

The two-year pause on federal student loan payments in the United States during the pandemic allowed Black women, who share a disproportionate amount of the country’s student debt, to redirect the money they would typically use for repayment toward other needs.

The Wyoming Stock Growers Land Trust uses conservation easements to conserve agricultural land in the state. These agreements happen when a landowner sells or donates the development rights to their land to the trust forever. They are allowed to keep farming the land, but it must remain undeveloped.

The Chinese American Service League’s (CASL) Change InSight coalition surveys communities in more Asian languages to allow for more inclusive data collection, particularly among low-income AAPIs. Better data collection increases the visibility of the challenges under-resourced AAPIs face, allowing the CASL to launch social service programs to address challenges in the community, like food insecurity.

The nonprofit GiveDirectly provides refugees with cash to help them sustain themselves, focusing on those living in cities, as they’re less likely to receive the same assistance as humanitarian camps do. Nearly 1,200 people were given $925 to spend however they wanted — some opening bank accounts, others starting businesses — and reported they were able to nearly double their monthly income and after six months, 88% of recipients were earning more money than ever before.

Alfanar is a venture philanthropy organization that helps fund social enterprise businesses in the Middle East. The group offers grants and zero-interest loans. It has helped more than 185 social enterprises and has provided over £6 million in funding.