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Photo: Pekka Sipola/EPA
Finland is experimenting with a guaranteed income.

Recently I posted about a guaranteed-income pilot program in Kenya that MIT’s rigorously data-driven Abdul Latif Jameel Poverty Action Lab (J-PAL) will be evaluating over the next few years.

Now I see that Finland is testing the concept, too.

Aditya Chakrabortty wrote about Finland’s experiment last month at the Guardian. “In a speck of a village deep in the Finnish countryside, a man gets money for free. Each month, almost €560 [about $660] is dropped into his bank account, with no strings attached. The cash is his to use as he wants. Who is his benefactor? The Helsinki government.”

Juha Järvinen “is a human lab rat in an experiment that could help to shape the future of the west. Last Christmas, Järvinen was selected by the state as one of 2,000 unemployed people for a trial of universal basic income [UBI]. …

“Finland is the first European country to launch a major dry run. It is not the purists’ UBI – which would give everyone, even billionaires, a monthly sum. Nor will Finland publish any results until the two-year pilot is over at the end of 2018. …

“Ask Järvinen what difference money for nothing has made to his life, and you are marched over to his workshop. Inside is film-making equipment, a blackboard on which is scrawled plans for an artists’ version of Airbnb, and an entire little room where he makes shaman drums that sell for up to €900. All this while helping to bring up six children. All those free euros have driven him to work harder than ever.”

Even more than the money, the freedom from the country’s welfare bureaucracy is key.

“In Finland, €560 is less than a fifth of average private-sector income. … [Järvinen’s] liberation came in the lack of conditions attached to the money. If they so wish, Finns on UBI can bank the cash and do nothing else. But, in Järvinen’s case at least, the sum has removed the fear of utter destitution, freeing him to do work he finds meaningful. …

“Social affairs minister Pirkko Mattila … seems genuinely bemused that there could be any political resistance to handing poor people some money to sit at home. ‘I personally believe that in Finland citizens really want to work,’ she says.”

More at the Guardian, here.

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