Sam Altman, CEO of OpenAI, has financially supported the largest basic income study conducted in the United States to date. His nonprofit organization, OpenResearch, collaborated with researchers to provide unconditional cash payments to individuals living below the poverty line over a three-year period.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned less than $30,000 annually. Among these participants, one-third received $1,000 per month, while the remaining individuals were given $50, serving as the control group.
Results indicated that those who received the larger cash payments had greater flexibility in their job searches. The authors of the study noted that “cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” They observed that recipients were not only more engaged in job searching but were also more selective in their choices.
One participant shared how the cash transfers allowed them to save money and be choosier with job offers, stating, “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 noted that they could accept a lower-paying entry-level position in a desired field, which later led to a six-figure salary within two years, a situation they claimed would not have been possible without the cash transfers.
The study revealed no significant disparity in employment levels between those who received the larger payments and the control group. Recipients primarily increased their spending on essential needs such as food, housing, and transportation. The payments also helped cover health-related expenses, including braces and treatment for alcoholism. While the cash transfers initially alleviated stress, many of the health benefits appeared to diminish after two years.
Sam Altman advocates for universal basic income as artificial intelligence continues to transform the labor market and displace certain jobs.
A correction in the article clarifies that the study was conducted by Altman’s nonprofit OpenResearch, not OpenAI.