Sam Altman, the CEO of OpenAI, has financed the largest basic income study in the United States to date. Conducted through his nonprofit organization OpenResearch, the study provided unconditional cash payments to individuals living below the poverty line for three years.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned less than $30,000 annually. One-third of the participants, referred to as recipients, received $1,000 per month, while the remaining participants, serving as the control group, received just $50.
Results indicated that the recipients of the larger cash payments enjoyed greater flexibility in pursuing jobs that aligned with their preferences. According to the study’s authors, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” They noted that recipients were not only more likely to be job searching but were also more selective in their choices.
A participant shared, “Because of the cash transfer and being able to build up my savings, I’m in a position for once to be picky. 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 recipient mentioned that the financial support allowed them to accept a lower-paid entry-level role in their desired field, eventually leading to a six-figure salary within two years. “If I didn’t have the cash transfers, there is no way I could have taken that pay cut,” they stated.
The study reported no significant differences in employment rates between those who received the larger payments and those in the control group. The additional funding primarily increased spending on essential needs such as food, housing, and transportation. Recipients also used the payments for health-related expenses, including braces and treatment for alcoholism. While the payments initially alleviated stress, many of the health benefits diminished after two years.
Sam Altman has been an advocate for universal basic income, especially as artificial intelligence transformation impacts the job market and displaces certain positions.
Correction: An earlier version of this story incorrectly attributed the study to OpenAI; it was conducted by Sam Altman’s nonprofit OpenResearch.