The feasibility of universal basic income

The Finnish basic income experiment is central when discussing the feasibility of the universal basic income and its status as a nationwide attempt to implement basic income on a trial basis. This chapter discusses whether the experiment increased the feasibility of the universal basic income in Finland. A typology of four factors (strategic, institutional, psychological, and behavioural) was used to assess the feasibility of the universal basic income. Regarding strategic feasibility, advocates of the universal basic income do not form a powerful discrete group. Instead, they form a diffuse group that lacks the political power and organisation to translate their advocacy into a powerful social action. When it comes to institutional feasibility, there are constraints limiting the implementation of the universal basic income and these include the Finnish social security system (in which social partners have a strong influence) and the difficulty of coordinating national-and EU-level policies. Regarding psychological feasibility, popular support for basic income depends on how we measure it and that the relatively cheap popular support that it enjoys is not strong enough to make significant changes to the prevailing discourse on social policy. Finally, in terms of behavioural feasibility, the experiment did not produce effects on employment - or at least not to a significant level - to convince decision-makers. However, universal basic income may improve recipients’ feelings of freedom, dignity, and self-determination. The conclusion is that there are serious obstacles to the political feasibility of basic income in Finland. However, the COVID-19 pandemic had neither increased nor intensified political discussions on the implementation of basic income in Finland, as it has done in many other countries. © Olli Kangas, Signe Jauhiainen, Miska Simanainen and Minna Ylikännö 2021.