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Field
Trial Status
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Before
on_going
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After
completed
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Field
Abstract
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Before
Finnish Basic Income Experiment is a large scale randomized field experiment organized by the Social Insurance Institution of Finland. The experiment began in January 2017 and it includes 2,000 unemployed workers receiving basic income. The basic income is 560 euros per month and it is paid unconditionally for two years. We will evaluate the effect of this basic income model using register based data. Our main objective is to estimate the effect of this basic income model on labor supply. Our secondary outcomes include earnings, income, participation in labor market programs, and health indicators.
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After
Finnish Basic Income Experiment is a large scale randomized field experiment organized by the Social Insurance Institution of Finland. The experiment began in January 2017 and it includes 2,000 unemployed workers receiving basic income. The basic income is 560 euros per month and it is paid unconditionally for two years. We will evaluate the effect of this basic income model using register-based data. Our main objective is to estimate the effect of this basic income model on labor supply. Our secondary outcomes include earnings, income, participation in labor market programs, and health indicators.
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Field
JEL Code(s)
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Before
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After
C93, H55, I38, J65
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Field
Last Published
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Before
November 19, 2018 10:07 AM
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After
December 13, 2019 06:44 AM
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Field
Study Withdrawn
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Before
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After
No
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Field
Intervention Completion Date
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Before
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After
December 31, 2018
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Field
Data Collection Complete
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Before
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After
No
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Field
Restricted Data Contact
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Before
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After
(Details not yet released by Kela)
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Field
Is data available for public use?
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Before
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After
No
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Field
Intervention (Public)
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Before
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After
The treatment group receives the unconditional basic income for two years. The basic income is a monthly benefit of 560 euros that is not affected by the level of employment. The basic income replaces minimum unemployment benefits and it is paid together with other social benefits. As the income tax schedule remains unaffected, the monetary incentives to work increase strongly. Participation in the experiment is mandatory and governed by a law.
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Field
Primary Outcomes (End Points)
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Before
Primary outcome: employment
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After
Days in employment
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Field
Experimental Design (Public)
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Before
The target population of the experiment consists of individuals who are 25 - 58 years of age and received the minimum unemployment benefits in November 2016. The Social Insurance Institution of Finland randomized 2,000 individuals into treatment group in December 2017. The rest of the individuals in the target population can potentially be used as a control group.
The treatment group receives the unconditional basic income for two years. Participation in the experiment is mandatory and governed by a law. The basic income replaces minimum unemployment benefits but it is paid together with other social benefits. The income tax schedule remains unaffected.
The follow-up of the experiment will be based on administrative register data. Different registers will provide a large set of background characteristics and various outcome variables. Possible survey data collection will be decided at a later date.
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After
The target population of the experiment consists of individuals who are 25 - 58 years of age and received the minimum unemployment benefits in November 2016. The Social Insurance Institution of Finland randomized 2,000 individuals into treatment group in December 2017. The rest of the individuals in the target population can be used as a control group.
The follow-up of the experiment will be based on administrative register data. Different registers provide a large set of background characteristics and various outcome variables. Register data are complemented by a survey carried out in October 2018.
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Field
Planned Number of Clusters
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Before
2,000 (the number of individuals receiving basic income)
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After
No clusters, simple random sampling
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Field
Planned Number of Observations
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Before
2,000 (the number of individuals receiving basic income)
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After
The target population includes over 100,000 unemployed individuals.
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Field
Sample size (or number of clusters) by treatment arms
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Before
2,000 individuals in the treatment group (receiving basic income)
The control group will be defined based on register data at a later date. Currently, in absence of other interventions in the target population, the potential control group is very large (>100,000 individuals).
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After
The treatment group includes 2,000 individuals receiving basic income.
The control group is defined based on register data and the number of individuals is very large (>100,000).
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Field
Power calculation: Minimum Detectable Effect Size for Main Outcomes
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Before
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After
Based on historical data on unemployed individuals from 2011 to 2013, we estimate the minimum detectable effect to be around 11% increase in employment days with 80% power and 5% significance level.
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Field
Public analysis plan
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Before
No
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After
Yes
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Field
Secondary Outcomes (End Points)
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Before
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After
Annual earnings and income
Take-up of social benefits
Participation in labor market programs and education
Health indicators
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