• The Deep Dive
  • Posts
  • UBI study reveals giving people free money is a flop

UBI study reveals giving people free money is a flop

Sponsored by Lithium Chile

UBI study reveals giving people free money is a flop

In a highly anticipated study, OpenResearch has released the first set of results from a landmark experiment investigating the effects of guaranteed income on low-income individuals in the United States. The study, funded by notable philanthropists including OpenAI CEO Sam Altman, provided 1,000 participants with $1,000 monthly for three years, with a control group of 2,000 individuals receiving $50 per month, amounting to a rough estimate of $39.6 million for the whole project.

This project aimed to explore how unconditional cash transfers influence various aspects of recipients’ lives, particularly employment outcomes and overall well-being.

You can read more on the matter here.

Lithium Chile is an exploration and lithium resource company with a property portfolio consisting of 111,978 hectares in Chile and 20,800 hectares in Argentina. Lithium Chile’s flagship project, Arizaro, was just announced to contain an after-tax net present value (8%) of US$2.8 billion, and an IRR of 36.3%, based on the use of DLE technology.

What’s going on?

  • Bank of Canada Cuts Interest Rates By 25 Basis Points Again (theDeepDive)

  • Victoria Gold Mine Collapse Causes Pause In Mining And Exploration In Entire Region (theDeepDive)

  • US warns tech start-ups on security threats from foreign investors (FT)

  • “My Son is Dead”: Elon Musk Blames “Woke Mind Virus” for Child’s Transition (theDeepDive)

  • Tenant groups call for scrutiny of American software company after U.S. lawsuits alleging rent collusion (Globe)

  • Biden Delegates Key Economic Powers to Support Ukraine (theDeepDive)

  • Exclusive: BOJ to weigh rate hike next week, detail plan to halve bond buying, sources say (Reuters)

  • Delta Expected to Take $500 Million Hit as Disruptions Start to Ease (Bloomberg)

  • California Secures First Federal Funding for Groundbreaking Hydrogen Hub (theDeepDive)

  • Visa reports rare quarterly revenue miss, shares drop (Reuters)

  • Harris bets on surge of voter enthusiasm as she eyes path to US election victory (FT)

  • Latest Conspiracy On Donald Trump Shooting Ties Assassin’s Locations With Potential Accomplice (theDeepDive)

What’s the latest?

  • Rate Cut: The Bank of Canada cut interest rates by a quarter percentage point for the second consecutive meeting, lowering the benchmark overnight rate to 4.5 per cent as inflation worries ease. Governor Tiff Macklem signalled that further easing is likely, emphasizing a shift in focus towards economic headwinds and preserving a soft landing for the economy.

  • Tesla Earnings: Tesla's shares plummeted over 11% on Wednesday following the company's disappointing quarterly earnings report, which revealed profit margins at a five-year low and marked the fourth consecutive quarter of missed estimates. The company's reliance on price cuts and incentives to boost sales has further impacted its margins, and its anticipated new, lower-cost models will not yield the expected cost reductions until the first half of 2025.

  • Viterra Buyout: Bunge Global SA’s $8.2 billion acquisition of Viterra Inc. is expected to receive approval from the European Union after the companies addressed regulatory concerns. The deal, which will make Bunge the world's second-largest agricultural trading company by revenue, involved Bunge offering to divest Viterra’s oilseed crushing and refining operations in Poland and Hungary.

  • Rogers Earnings: Rogers Communications Inc. reported a second-quarter profit of $394 million, up from $109 million a year ago, due to lower restructuring and acquisition costs from its Shaw Communications purchase. The profit translated to 73 cents per diluted share, compared to 20 cents per diluted share last year. Revenue increased to $5.09 billion from $5.05 billion, driven by growth in its wireless and media businesses.

  • Geopolitics: NATO military planners are assessing the significant costs needed to revamp Europe's defences amid rising concerns about Russian aggression. Six critical areas identified include shortages in air defences, long-range missiles, troop numbers, ammunition, logistics, and secure digital communications. The impending U.S. presidential election adds uncertainty, with NATO emphasizing that Europe must increase its military spending regardless of the election outcome to bolster defence capabilities and readiness.

The rising demand for phage therapy

The stock market and stuff

  • Copper Retreats from May High as China’s Economic Boost Falls Short (theDeepDive)

  • Tesla Stock Plummets 8% Amid Earnings Miss As Elon Musk Eyes $5 Billion Bet on AI Startup (theDeepDive)

  • Teck cuts copper forecast as it experiences more bumps with QB2 mine ramp-up (Globe)

  • Spotify Stock Surges Over 13% Following Record Q2 Earnings Report (theDeepDive)

  • LVMH leads sell-off in global luxury shares as downturn fears deepen (FT)

  • Logan Paul Launches Legal Battle Against Coffeezilla, Claiming Defamation in CryptoZoo Exposé (theDeepDive)

In the juniors

  • Snowline Gold Hits 1.77 g/t Gold Over 449.7 Metres As Exploration Continues (theDeepDive)

  • Vizsla Silver PEA Outlines US$1.14 Billion NPV For Panuco Project (theDeepDive)

  • Lithium Chile Outlines Pre-Tax US$3.8 Billion NPV(8%) For Arizaro Project In Pre-Feasibility Study (theDeepDive)

FULL DISCLOSURE: Lithium Chile is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Lithium Chile. The author has been compensated to cover Lithium Chile on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.