Finland Universal Basic Income Experiment

Summary

Finland's basic income experiment was the first national-level RCT of unconditional cash for unemployed adults in a high-income country. The primary employment finding was modest but positive — treatment recipients worked slightly more, not less, than those receiving conditional benefits. The more striking effects were on well-being: treatment recipients reported better mental health, higher trust in institutions, and greater sense of security. The experiment resolved one empirical question decisively: unconditional cash did not reduce work effort among unemployed recipients. It opened others: would the effect generalize to employed populations, and at what fiscal scale?

Research question

"Does an unconditional basic income improve well-being and employment outcomes for unemployed adults compared to standard unemployment benefits?"

Methodology

Result

Positive

Employment: +6 days/year (modest positive); well-being score: +0.09 SD; trust in institutions: significantly higher; mental health symptoms: meaningfully reduced

Evidence strength

Strong

Randomized controlled trial with large sample.

Replication status

Partially replicated