Finland Launches Its Universal Basic Income Experiment
In my last post I talked about how automation technologies will lead to mass unemployment and that we would need to change our socio-economic structure in the wake of robots taking away our jobs.
Many solutions have been suggested but till now, Universal Basic Income seems like the most viable option. As I explained in my previous post, a UBI is a system in which the state regularly pays you an unconditional some of money, meaning you get paid for being a citizen basically.
It sounds too good to be true and if enough money can be paid to all citizens, I’m sure people would actually welcome the automation that is on the rise every year.
Well, at least for now, some people of Finland will be having happier times ahead as the country kickstarts its universal basic income experiment. They might have just started the system of the future beginning this new year.
So, Finland has started this experiment by choosing 2000 citizens at random who will receive €560 ($587) a month, which will be totally tax free. For this experiment, Finland has decided to choose only those who have already applied for unemployment benefits.
If those selected, get jobs while they are under this programme, their basic income will not be taken away therefore they will have more than 1 sources of income.
This programme is being launched for 2 years and if the authorities find it to be successful, it will be extended to all adult people in Finland.
Future
Other countries have shown interest in trying out this model too. The city of Utrecht in Netherlands and Canada and Uganda are also set for similar experiment this year. Also, India has shown interest to launch its own programme as well in the future.
UBI is a hotly debated topic and its viability is still up in the air, therefore experiments like these are necessary to reach to a conclusion. One of the major concerns is that a UBI model still doesn’t eliminate the need for a job as the income under this model is going to be lower than what people make doing a job.
And if the need for a job is not eliminated, it will cause pressure on the remaining jobs that automation hasn’t already taken over. At the moment, all we can do is experiment.
I don't think this is going to work. Much like the failed experiment in Sweden in regards to the 6-hour work day the costs outweigh the benefits.
http://nordic.businessinsider.com/swedens-latest-six-hour-work-day-experiment-was-a-complete-failure-2016-8/
Also keep in mind one very important fact. Throughout history technology has never reduced employment rates. It has exponentially increased them.
During the 1950's people who had horses and were employed by the millions worried that the steam engine will spread havoc in the economy. The ol' "they took er jobs" was as ridiculous then as it is today.
Much like nobody could envision back then that there would be a job title like "Social Media Manager", similarly we can't envision today what jobs this mass automation will bring.
It's true that new jobs that we haven't envisioned yet will be created in the future and it will create opportunities for a lot of people.
But it is also wise to keep all options open and be prepared for any scenarios. So, in my opinion, this experiment by Finland is a necessary step. If it fails, it won't be for a lack of trying.
Whether it fails or succeeds it will mean nothing since it is a localized experiment with a very small sample based on a specific culture in a specific point in time.
For the record, giving people free stuff never worked in the long run. it makes people lazy and entitled.
You make some good points. We will have to wait and see how everything unfolds.
I do think mass automation will reduce jobs, it will also make a lot of people redundant especially in third world countries, and that's what worries me.
It is true. It poses a grave threat!
This is huge and I really look forward to hear about the results of this, especially since their mindset in relation to health is so healthy to start with... Keep us updated please. Thanks and namaste :)
Yeah, the experiment is two years long but we might hear something at the end of this year. By then we will start getting the picture whether this will be successful or not.
I hear ya and surely will keep a close eye on the subject myself, this is so inspiring... If it follows the successes of their educational system implementation model, they're going to create a monumental shift in many people's consciousness! All for one and one for all!!! Namaste :)
It is true. Their success might lead to other countries taking their lead which will make things better for everyone! Namaste :)
I've been hearing about this idea for about a year now and I'm thrilled to see it's finally being implemented somewhere.
Yeah. And apparently other countries are gearing up too!
Seems like an interesting idea! I'm curious how this will turn out.
Me too. I am all up for receiving money for free ;) :D
I think I will move to Finland if the experiment will be successful.
I will have to think about it too! :D
I personally believe this system is important. If everybody is given the same opportunity for their basic needs to be met, that leaves time for them to focus on what truly drives them.
Yes, I like this idea. You don't have to worry about the basics which will leave your mind free to explore whatever venues you like which can lead to out of the box thinking and beneficial for that nation and the whole world too!
This totally needs to happen but it's not a new or revolutionary idea! http://basicincome.org/basic-income/history/
The idea is not new but its more serious discussion is. Automation has forced this discussion it seems.
Yep totally agree it's been touted for some time now, sadly the Swiss rejected the idea in a vote last year but Holland are introducing it in some places.
Whre in canada?
@kyriacos
I strongly believe the oppisite is true.
When people are shown that they have some worth, they start to believe that they are worthy.
I.e. worthy of trying, even if that means so called "failing"
Taking care of the basics of life will allow more time to look into other areas of importance which means better utilisation of our time!
Yes, We diserve to be free: Not to be enslaved with the shackles of economics.
To be fair, economics can also unbind us.
It is a double edged sword
Ayn Rand's Atlas Shrugged become less fiction and more non-fiction every day. This will be a complete fail.