In 2018, I began lecturing about the Federal Land Dividend, a bipartisan tax-free Universal Basic Income (UBI) based on monetizing the 640 million acres of mostly unused federally owned land. Due to the lasting effects of the coronavirus pandemic, which include a struggling U.S. economy, there is increasing interest in implementing basic income plans. The Federal Land Dividend is the only method that is both bipartisan and tax free.
An estimated 50 percent of the 11 most western states are mostly empty land that belong to the government. Estimates say this land and its resources are worth approximately $100 to $200 trillion. If we divide the middle—$150 trillion—by America's population of 333 million, every person would have approximately $450,000 in equity. That's much higher than the median net worth in America of $122,000.
The Federal Land Dividend aims to lease out land and natural resources to big business that agree, in exchange, to pay a monthly income to all Americans. It's estimated that if just 60 percent of America's unused federal land was leased out at fair rates, a $1,000 monthly check could be sent to all Americans—regardless of age—for decades if not centuries. Because land and raw materials often move in tandem with inflation, payouts could increase with inflation. Furthermore, this plan does not touch any national parks whatsoever. Much of this land is in places that few humans ever visit or see.
Some conservatives support the Federal Land Dividend idea because it will boost big business while providing an economic stimulus to all Americans. Some liberals also support the idea because it will dramatically help end poverty. Even some libertarians like the idea because it returns the value of federal land to the people, instead of the government hoarding and controlling it.
Ironically, when former President Donald Trump was in office, his administration newly monetized some of this federal land in New Mexico, Arizona, and Utah. But the difference is the money generated from these dealings go largely to the government and big business, and not to ordinary people as I'm proposing.
Currently, the lasting effects of COVID-19 have increased inequality in the U.S. economy. The rich have gotten richer, and the poor, poorer. A Universal Basic Income is gaining more and more interest because of middle class job losses as well as soaring inflation.
Originally, millions of Americans learned about Universal Basic Income through Andrew Yang's popular 2020 presidential run. But Yang's basic income—like so many other versions of UBI—is mostly based on raising taxes in one way or another. The Federal Land Dividend is a basic income that doesn't raise taxes whatsoever. In fact, it's a basic income that would likely shrink the need for government services such as food stamps, welfare programs, and school loans. It could also help Social Security's lack of future funding to remain solvent, all while giving every American extra cash to prosper.
Nevada is an excellent example of the possibility of monetizing federal land: 84 percent of the state is government land, and some experts say trillions of dollars of mining resources are in the ground, waiting to help give free equity and income to Americans.
In California where I live, there's a few trillion dollars of undeveloped coastal land held by the government. Driving down Highway 101 reveals some of the most scenic land in America. Developers would love to build on this land, and it would dramatically help the dire housing shortage in the state. But so far government wants to keep this land totally preserved, despite California having 10 million people living under or near poverty levels.
This brings up the biggest challenge to the Federal Land Dividend: its environmental impact. America is mostly holding these raw federal lands for future generations. But I believe sensible limits and regulations could be put on these land leases, so that big business would be responsible for returning the land to near-mint condition after they were used. Naturally, that's easier said than done. Nonetheless, I believe America should urgently utilize its natural resources to tackle our growing homelessness problem and fix growing societal inequality—issues we have right now. After all, approximately 9 million kids go to bed hungry at night, and most Americans are living paycheck to paycheck. America has the raw natural resources to pull everyone out of poverty. We just have to use what's already at our fingertips.
The Federal Land Dividend also helps overcome the issue of AI and coming widespread automation. Like it or not, at some point robots are coming for many of our jobs, and potential mass layoffs could wreak havoc on society. Finally, the Federal Land Dividend doesn't just have the potential to work in the U.S.; most governments own land, and this UBI method can be similarly implemented in many nations worldwide.
Monetizing federal land can help mitigate many of society's problems without raising taxes or printing more money. It's a bipartisan win-win situation for all involved. The only thing the Federal Land Dividend needs is for more people to discuss it so politicians will consider and implement it.
Zoltan Istvan writes and speaks on transhumanism, artificial intelligence, and the future. His 7-book essay collection is called the Zoltan Istvan Futurist Collection, and he was the subject of the documentary Immortality or Bust.
The views expressed in this article are the writer's own.
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