There’s a serious proposal to give babies born in the United States $20,000 (or more)
Forget baby showers. There's a proposal to give every newborn in the United States a “Baby Bond” account with somewhere between $500 to $50,000 in cash. Neither the kids nor their parents would be able to touch the money until the child turned 18. Then the young adult could spend the trust fund on attending college, buying a home or starting a business.
The whole point of Baby Bonds would be to dramatically lessen wealth inequality in the United States, according to the economists who came up with the idea, Darrick Hamilton of the New School and William Darity of Duke University.
“The key ingredient of how successful you will be in America is how wealthy your family is,” Hamilton says. Baby Bonds are one way to change that, he argues. He presented the idea at the American Economic Association conference in Philadelphia this weekend.
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