Monday

Finland Testing Universal Basic Income

Universal Basic Income is a concept that I frankly cannot quite get my head around. As the name suggests, it amounts to a sort of permanent government payment to it's citizens, intended to be a basic stipend to live on.

In Finland, they are trying a two year pilot program with a couple of thousand citizens who are currently receiving unemployment benefits.
That basic income will replace their existing benefits. The amount is the same as the current guaranteed minimum level of Finnish social security support. The pilot study, running for two years in 2017-2018, aims to assess whether basic income can help reduce poverty, social exclusion, and bureaucracy, while increasing the employment rate.
The personal income tax rate in Finland is currently around 50%, and in common with most European (and particularly Scandinavian) countries, the Finnish people live in what would generally be considered a welfare state.

Finland is not the only country trying this, and it has been tried previously in other areas, but there has been a push in recent years to try and get something like Universal Basic Income to become mainstream and widespread.

And if this comes true, we may all need a Universal Basic Income.


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