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McKinsey — An experiment to inform universal basic income

Summary:
Finnish experiment. The final results from Finland’s experiment are now in, and the findings are intriguing: the basic income in Finland led to a small increase in employment, significantly boosted multiple measures of the recipients’ well-being, and reinforced positive individual and societal feedback loops. The numbers look pretty good. Can it be generalized? This would not suggest that a UBI is a substitute for an MMT JG, however. The rise in employment was small. There would still be a buffer stock of unemployed without a JG. Do the results imply that a UBI is the only alternative? Would a means-tested basic income perform the same or better? McKinseyAn experiment to inform universal basic income Tera Allas, Jukka Maksimainen, James Manyika, and Navjot Singh Open

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Finnish experiment.
The final results from Finland’s experiment are now in, and the findings are intriguing: the basic income in Finland led to a small increase in employment, significantly boosted multiple measures of the recipients’ well-being, and reinforced positive individual and societal feedback loops.
The numbers look pretty good. Can it be generalized?

This would not suggest that a UBI is a substitute for an MMT JG, however. The rise in employment was small. There would still be a buffer stock of unemployed without a JG.

Do the results imply that a UBI is the only alternative? Would a means-tested basic income perform the same or better?

McKinsey
An experiment to inform universal basic income
Tera Allas, Jukka Maksimainen, James Manyika, and Navjot Singh
Mike Norman
Mike Norman is an economist and veteran trader whose career has spanned over 30 years on Wall Street. He is a former member and trader on the CME, NYMEX, COMEX and NYFE and he managed money for one of the largest hedge funds and ran a prop trading desk for Credit Suisse.

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