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As of early 2017, GiveDirectly planned to mobilize $30…

“As of early 2017, GiveDirectly planned to mobilize $30 million for what it claims will be the largest basic income experiment ever. Continuing with the RCT methodology, villages in two Kenyan counties will be divided into three groups: in forty villages all adult residents will receive a monthly…” quote by Guy Standing
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““As of early 2017, GiveDirectly planned to mobilize $30 million for what it claims will be the largest basic income experiment ever. Continuing with the RCT methodology, villages in two Kenyan counties will be divided into three groups: in forty villages all adult residents will receive a monthly basic income for twelve years; in eighty villages all adult residents will receive a basic income for two years; and in another eighty villages all adult residents will receive a lump sum equivalent to the two-year basic income. In all, some 26,000 individuals will receive cash transfers worth about 75 US cents a day. Data will also be collected from a control group of a hundred similar villages. The stated main objective of GiveDirectly is the eradication of ‘extreme poverty’, which is a worthy goal but is not the prime rationale for a basic income system. At the time of writing, the hypotheses to be tested had not been finalized, though one aim of the proposed study is to look at the impact of a long-term basic income on risk-taking, such as starting a business, and another is to look at village-level economic effects. The sheer size of the planned experiments may backfire by distorting the social and economic context. The project has already run into problems of low participation rates in one county, where people have refused the no-strings largesse, believing it to be linked to cults or devil worship. That said, unlike the pilots proposed in Europe, this experiment will test a genuine basic income by providing a universal, unconditional income paid to all individuals in a community. So the hope must be that the researchers, advised by well-known economists from prestigious US universities, will ask the right questions.””

Guy Standing

About This Quote

This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation.

The project tests large‑scale unconditional cash transfers to assess impacts on poverty, entrepreneurship, and community economics, while noting potential social distortions and participation challenges.

In simple terms: Testing cash aid effects on poverty and risk‑taking in Kenya.

Key Takeaway

Observe outcomes, adjust design for cultural acceptance.

Themes

poverty reduction basic income economics social impact research methodology

Mood

cautious analytical

Type

policy research analytical

When to use this quote

  • policy design
  • development NGOs
  • entrepreneurship programs
  • social research
  • community engagement

Key Concepts

unconditional cash transfers RCT risk‑taking behavior community dynamics

Questions to Reflect On

  • How can researchers ensure community trust?
  • What metrics best capture long‑term economic change?
A Different Perspective

Cultural resistance and low participation may skew results and limit generalizability.

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