Sam Altman, the CEO of OpenAI, has financed the largest basic income experiment in the United States through his nonprofit organization, OpenResearch. This initiative involved providing unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study engaged around 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom had annual incomes under $30,000. One-third of the participants were allocated $1,000 monthly, while the remainder received only $50 as part of the control group.
The findings revealed that those receiving substantial payments had greater flexibility in their job searches, enabling them to pursue positions that aligned more closely with their interests and values. The study’s authors noted, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values. Recipients were more likely to be searching for a job, but they were more selective.”
One participant expressed gratitude for the cash transfer, stating it allowed them the luxury of being choosier in their job selection. They remarked, “I don’t have to take a crappy job just because I need income right now. I have the opportunity to hold out and try and find the right fit.” Another participant shared their experience of taking a lower-paying job in their desired field, which ultimately led to a six-figure salary in just two years. They acknowledged that without the cash transfers, they wouldn’t have been able to make that transition.
The study indicated no significant difference in employment rates between those who received more substantial payments and the control group. The increased payments primarily led to greater spending on essential needs, including food, housing, and transportation. Recipients also used the funds to address health-related expenses, such as braces and alcoholism treatment. While the payments initially alleviated stress, many health benefits waned after two years.
Sam Altman advocates for universal basic income as a potential solution to the shifts in the labor market brought about by advancements in artificial intelligence.
Correction: An earlier version of this article inaccurately attributed the study to OpenAI instead of Sam Altman’s nonprofit OpenResearch.