Wednesday, September 20, 2017

The Finnish experiment with basic income...

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With that in place, one of the first experiments the Finnish government decided to try was with basic income. Instead of attempting to modify the extensive and complicated welfare system already in place, this experiment is performed on a sample segment of the population sample in a randomized and automatic fashion. Basic income just gets deposited in participants’ bank accounts every month.

The program is currently overseen by Marjukka Turunen, who works for a government institution called KELA. This agency helps oversee the over forty different kinds of benefits Finns can receive, including student support, parental care, pensions and other subsidies. In January of 2017, KELA picked 2,000 unemployed Finns from all over the county. They ranged in age from 25 to 58 (too old for student support, too young for a pension), and they were selected completely at random. They didn’t volunteer for the experiment — at the beginning of the year, they just got a letter that explained they were to be part of the test, and would now receive 560 Euros a month.

Sanna Leskianen one of those selected, and she was excited about the news. The amount is slightly less than she got through her unemployment benefits, but this basic income is guaranteed, and will be unaffected by her employment status. “Finding a job is very important to me,” she says. “So now I’m able, if I find a job … [to] take it and not lose the support money.”

Normally, to collect unemployment in Finland, Sanna would have to go to job training meetings and check-ins every few months. Under the basic income experiment, Sanna and the other test participants scattered around the country don’t have to do anything at all to get their 560 euros every month. Full story...

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