Tenets of Human Centered Capitalism

If this diary has a thesis it is this: Yang’s ideas are far bigger than Andrew Yang the candidate and we should take them seriously if we hope to create a stable and equitable future.

If you know one thing about Yang it is probably that his campaign is centered around a signature policy: universal basic income, so although he has 100+ policies we’ll first look into why UBI is not only helpful, but necessary.

Universal Basic Income

Universal Basic Income (UBI) is a $6 minimum wage increase that rewards mothers, caretakers, and other work the market doesn't value, doesn't incentivize automation, or put pressure on small businesses struggling due to Amazon and Walmart. It also works as a permanent strike fund for every employee trying to form a union and every union member trying to organize a strike.

Here are some of the observed benefits of UBI from previous trials, and the situation of the median American:

Automation

Despite these benefits the main reason we need UBI, and what inspired Yang to run for president, is rapidly increasing inequality on a global scale fueled in part by an economy that has less need for low skilled work.

This issue is highly time sensitive. Most experts predict that we are less than 10 years away from catastrophic job loss, and those predictions do not take into account that we are likely 1 to 2 years away from another global recession during which companies will do everything in their power to cut costs.

Here are some sources:

Automation could kill up to 70 million jobs by 2030.

Visualizing the jobs lost to automation

Automation could wipe out half of all US jobs

Even if the job loss is 1/10th of what is predicted it would have massive social and economic ramifications.

By the second term of the next president we will likely regret failing to implement UBI if we do not act now, and that is part of what motivated me to write this.

So how does UBI help with inequality?

When UBI and the tax that funds it are factored together Yang’s implementation is a direct wealth transfer from the top 10% to the bottom 90%. In addition to creating a cushion for those whose jobs are automated and the millions who fall through the cracks of the current social safety net it would be the single biggest increase in social security in American history, and the single biggest reduction in inequality possible through government intervention. Yang also noted it would be necessary to increase UBI over time as the need arises.

All that said, UBI is not the solution, it’s a foundation on which to build the solution.

Human Centered Capitalism

The solution is a systematic restructuring of the economy so that capital works to maximize human wellbeing rather than itself. This is the fundamental principal of Human Centered Capitalism, and the first step would be to redefine GDP to include measurements relevant to human wellbeing: life expectancy, environmental quality, mental health, educational outcomes, ect, and then use those as a measuring stick for national success. Long term, it will be necessary to tie tax incentives to those measurements so that companies’ bottom line is dependent on their ability to improve human wellbeing. I’d argue that, ultimately, this is the direction we must head to have any hope of a functioning society in a highly automated economy.

Democratic Reform

None of this matters, however, if our political system remains controlled by corrupt special interests intent on preventing change. Yang addresses this directly in his plan for systematic democratic reform. Check it out yourself, it is the most detailed and comprehensive set of democratic reform proposals of any candidate, and Yang was the only candidate to receive an A+ rating from Equal Citizens as a result.

Some highlights:

Democracy Dollars to wash out corporate cash

Ranked Choice Voting

Add seats to the supreme court + 18 year term limit

Electoral college reform

12 year term limit for congress

End partisan gerrymandering

Check out Yang’s discussion with Laurence Lessig as well, it’s definitely worth watching if you are skeptical.

Climate Change

Climate change is an existential crises, and Yang’s position is that it’s worse than even most Democrats assume. Yang’s Climate Change Plan is also one of the most detailed and comprehensive in the field.

Highlights:

Carbon Tax and dividend

Grid modernization to improve efficiency

Funds to relocate communities affected by climate change

Emphasis on geo-engineering, we must do less of the bad and more of the good

Direct federal action to promote renewables

It may seem paradoxical, but UBI also helps us address climate change. When people are struggling to survive day to day they are unable to focus on big pictures issues such as climate change. Financial insecurity has been shown to decrease IQ by up to 13 points, a full standard deviation, so one of the best things we can do to motivate action on climate change is to give people the mental bandwidth necessary to care about it.

In addition to democratic reform and action on climate change, Yang has more policies than any other candidate by a significant margin, with over 100 listed on his website. He’s certainly not a single issue candidate as has sometimes been assumed.

Yang Beats Trump

But what does this matter if we nominate Yang, and he just gets trounced by Trump?

This is one of Yang’s biggest strengths and another big part of why I want Yang to be the democratic nominee. In a recent New Hampshire Head to Head poll, Yang was second only to Biden in the margin of victory, and this is corroborated by a Economist/Yougov poll that had Yang as one of only two candidates that more than 10% of Trump voters said they would support.

Anecdotally, Yang’s interviews with Fox News have universally positive comments, with many people saying they would register as a Democrat just to vote for him.

This is how we win.

Once elected, that same bipartisan appeal would be instrumental in getting legislation passed. We only need 51% of congress to pass UBI, and conservatives would be far less scared of voting for a Democrat if they see the direct positive impact in real life.

Imagine, for a moment, a candidate with the following platform getting bipartisan support:

You don’t have to imagine it, it’s already happening.

Conclusion

Yang is a serious candidate and worthy of consideration. One that if nominated will guarantee a victory for democrats, and if not will continue to shape policy discussion for years to come. Pete, Bernie, and Warren have all recently implemented some of Yang’s plans in their platform, and Biden has talked about the fourth industrial revolution. Yang has a following not just in the US, but all over the world. I’m Canadian, and am writing this to implore Americans to take him more seriously because I fear that if you don’t we will all end up regretting it, but if you do you can lead the world into a new age of equity, abundance, and optimism.