Tech billionaire Elon Musk has sparked fresh debate after proposing a "universal high income" program as a solution to job losses caused by artificial intelligence.
In a post shared on X, Musk said the federal government should provide citizens with direct payments.
"Universal HIGH INCOME via checks issued by the Federal government is the best way to deal with unemployment caused by AI," he wrote. The post quickly gained attention and remains pinned to his account.
Musk argued that such a plan would not lead to inflation. He claimed that advances in AI and robotics would produce so many goods and services that the increase in money supply would not cause prices to rise, ET reported.
His idea builds on growing concerns that automation could replace millions of jobs in the coming years.
JUST IN: Elon Musk says universal high income from the Federal government "is the best way to deal with unemployment caused by AI."
— Watcher.Guru (@WatcherGuru) April 17, 2026
"AI/robotics will produce goods & services far in excess of the increase in the money supply, so there will not be inflation." pic.twitter.com/GksSuTk9UF
Experts Warn of Inflation Risks in Musk Income Plan
However, many economists pushed back against the proposal. Sanjeev Sanyal criticized the idea, saying it misunderstands how economies work.
"He is so wrong on this," Sanyal wrote, adding that while AI may disrupt jobs, it will also create new ones over time. He warned that the plan could place a heavy financial burden on governments.
According to FoxBusiness, another critic, Pratyush Rai, raised concerns about how such payments would affect daily life.
He said giving everyone a high income could increase competition for housing, education, and other limited resources, potentially driving prices higher.
Still, not everyone dismissed the idea. Andrew Yang, who previously promoted a universal basic income plan, expressed cautious support.
"It's clear that AI will wind up funding universal income. Let's make that happen ASAP," he wrote online.
Musk's proposal goes further than traditional universal basic income programs. While UBI is designed to cover basic living costs while people continue working, a universal high income could reduce the need for work altogether.
This shift raises questions about how society might function if fewer people rely on jobs for income.
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