Sam Altman, the CEO of OpenAI, has financed 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 for a duration of three years.
The study involved around 3,000 participants aged between 21 and 40 from Texas and Illinois, all of whom earned less than $30,000 annually. One-third of these participants received $1,000 per month, while the remaining participants, who constituted the control group, received only $50.
Results indicated that those receiving the larger cash payments had increased flexibility to seek out jobs that aligned better with their interests and preferences. The authors of the study noted that cash can enhance individuals’ ability to make employment choices that reflect their unique circumstances, goals, and values. They found that while recipients were actively pursuing jobs, they were also more selective in their choices.
One study participant remarked that the cash transfer allowed them to save money and take a more discerning approach to job opportunities, 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 shared their experience of accepting a lower-paying entry-level job in their desired field, which eventually led them to a six-figure salary within two years, emphasizing that without the cash transfers, they would not have been able to make that trade-off.
The study revealed no significant differences in overall employment rates between the larger payment recipients and the control group. Recipients primarily allocated their funds toward essential expenses, such as food, housing, and transportation, and used the payments for health-related needs like dental braces and alcoholism treatment. While the financial support initially alleviated stress, many of the health benefits seemed to diminish after the two-year period.
Altman has been a strong advocate for universal basic income as artificial intelligence continues to reshape the job market and displace certain jobs.
Note: An earlier version of this article incorrectly attributed the study to OpenAI rather than Sam Altman’s nonprofit OpenResearch.