Experimental study on a universal basic income

The Government of Prime Minister Juha Sipilä is testing a guaranteed basic income in Finland during 2017 and 2018. A working group of researchers from a range of organisations under the project leadership of Kela explored ways in which to carry out the basic income experiment. The experiment was implemented by Kela. Kela will also organise the analysis of the basic income experiment.

The basic income experiment was launched on 1 January 2017. During the experiment, a total of 2,000 unemployed persons between 25 and 58 years of age received a monthly payment of €560, unconditionally and without means testing. The experiment run for two years until 31.12.2018. 

The purpose of the basic income experiment was to find ways to reshape the social security system in response to changes in the labour market. The experiment also explored how to make the system more empowering and more effective in terms of providing incentives for work. Further objectives included the reduction of bureaucracy and the streamlining the complicated system for providing welfare benefits.

Analysis of the basic income experiment 

The analysis will include both a register-based study and a phone survey among members of the experimental group and the control group.

Results on the first year of the experiment will become available in spring 2019, followed a year later by a report which will cover the entire time span of the experiment.

The main goal of the analysis is to help understand how receiving a basic income affects the income and employment status of the participants. The impact of the basic income on the participants’ general well-being will also be investigated. The experimental group of 2,000 persons is compared against a control group comprised of individuals who were not selected for the experimental group.

Organised by the Social Insurance Institution of Finland (Kela), the project will also involve VATT Institute for Economic Research and other implementation partners.

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Contact us

Professor of Practice Olli E. Kangas,  University of Turku
olli.kangas[at]utu.fi, +358 45 138 3790

Senior researcher Minna Ylikännö, Kela
minna.ylikanno[at]kela.fi, +358 50 313 8712

Researcher Miska Simanainen, Kela
miska.simanainen[at]kela.fi, +358 50 552 2095

Researcher Katja Mäkkylä, Kela
katja.makkyla[at]kela.fi, +358 50 566 8380

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