Analysis

In Finnland, they issued out universal income. The purpose is to reduce poverty and economic inequality.

Evaluation

The results of the UBI experiment in Finland have been mixed. On the one hand, the scheme had some positive effects, such as:

• Reducing stress and anxiety: Recipients reported feeling more secure and relaxed, which led to improved mental health and well-being.
• Increasing trust in institutions: The UBI experiment enhanced people’s trust in the government and the social security system.
• Promoting entrepreneurship: Some recipients used the stipend to start their own businesses or pursue entrepreneurial ventures.

However, the experiment also had some negative outcomes, including:

• Reduced incentive to work: One of the main criticisms of the UBI experiment is that it reduced the incentive for people to seek employment. Many recipients reported that they did not need to look for work, as they could rely on the stipend. This could lead to a decrease in labor market participation and a rise in unemployment.
• Limited impact on poverty: The UBI experiment did not significantly reduce poverty rates, as the stipend was not enough to lift people out of poverty.
• High costs: The experiment was expensive, and the government had to allocate significant resources to fund the program.