What’s not to like? Benefit design,funding structure and support for universal basic income

Abstract

After decades of debates on the economic and philosophical merits and shortcomings of a universal basic income (UBI), more recent literature has started to investigate the politics of a UBI. While several studies shed new light on the individual characteristics associated with higher or lower support for a UBI, we still do not know what features of a UBI itself are attractive or not to people, nor whether other slightly different policy alternatives like means-tested and minimum incomes would be more popular. This article addresses this gap by employing a conjoint experiment fielded in Finland, where a UBI has received significant media and political attention. Our findings show that the most contentious dimension of a UBI is – surprisingly – not its universality, but instead its unconditional nature. Individuals are more likely to support policies that condition receipts upon searching for employment or being genuinely unable to work, and less likely to support policies that are fully unconditional. On the funding side, support tends to be lower for a UBI that is linked to reducing existing benefits, but higher if the UBI is to be funded by increasing taxes, especially on the rich. These findings contribute to a wider literature on the politics of UBI and to our understanding of the potential popularity of competing policy reform alternatives.