The Universal Basic Income concept advocates providing every citizen with a fixed monthly income, no strings attached. The current widespread job losses in many countries due to the coronavirus pandemic have led to renewed interest in the idea. Universal Basic Income payments are intended to be sufficient to cover basic physical needs and participation in social life.
For the duration of the study, 120 German citizens will receive a monthly income of €1,200 (approximately $1,420). Payments will start in spring 2021 and continue for three years. https://www.dw.com/en/basic-income-germany-tax-free/a-54700872.
Purpose of Germany’s Data-Based Long-Term Study
Since current debates on the merit of an unconditional income have been limited to personal opinions rather than empirically data, Germany’s study wants to flush out fact-based findings. The study is a joint project of the German Institute for Economic Research (DIW Berlin) and Mein Grundeinkommen (My Basic Income), a Berlin based non-profit organization. Researchers from the University of Cologne and the Max Planck Institute for Research on Collective Goods are also participating.
The study is financed entirely by private crowdfunding and does not rely on any state funding. Researchers want to discover what effects Universal Basic Income might have on the labor market. They hope to find answers to the following questions: Will recipients spend or save the money? Will they quit their jobs? Will they switch to working part-time rather than full-time? Will they pursue additional education? Will they start their own business because of added financial security? Will they spend more time volunteering or being with family? How will an unconditional income affect their financial and mental well-being?
Experimental Design of Germany’s Universal Basic Income Study
1,500 subjects will be recruited. Of those participants, 120 will be randomly selected to receive €1,200 per month for three years. The remaining 1,380 participants will serve as a comparison group to ensure that changes observed are, in fact, due to the basic income received. The amount participants will receive was determined with reference to the German poverty line. It will be slightly above the poverty line. In order to form the most diverse group of participants possible, Germany’s Universal Basic Income study plans to recruit up to a million people.
The first phase of the study, the selection process, began in mid-August 2020. Anyone who is a permanent resident of Germany and at least 18 years of age is eligible to participate. Applicants must complete a basic online questionnaire, including some questions relative to their overall life situation (educational attainment, net income, and any social benefits received). Over the course of the study, each participant will be asked to complete six online questionnaires that include questions about employment, time use, consumer behavior, values, and health.
For the duration of the study, 120 German citizens will receive a monthly income of €1,200 (approximately $1,420). Payments will start in spring 2021 and continue for three years. Photo credit: Nikolay Frolochkim, Pixabay. www.walled.in.berlin.com
Invitation to Conduct More Universal Basic Income Studies
In the recent past, a number of countries conducted unconditional basic income studies. But they tended to focus only on specific population groups. This study will select participants from all walks of life – from the employed to the unemployed and from pensioners to the self-employed. The initiators of the Universal Basic Income study encourage other countries to do their own research and are willing to share their knowledge of how to implement similar projects around the world. The researchers can be contacted at support@mein-grundeinkommen.de.
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Walled-In is my story of growing up in Berlin during the Cold War. Juxtaposing the events that engulfed Berlin during the Berlin Blockade, the Berlin Airlift, the Berlin Wall and Kennedy’s Berlin visit with the struggle against my equally insurmountable parental walls, Walled-In is about freedom vs. conformity, conflict vs. harmony, domination vs. submission, loyalty vs. betrayal.
Tags: DIW Berlin, German Institute for Economic Research, Mein Grundeinkommen, Universal Basic Income
