Sam Altman, the CEO of OpenAI, has financed the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. This initiative provided unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually. One-third of the participants received $1,000 per month, while the other participants, who formed the control group, received only $50.
Findings from the research indicated that those receiving the larger payments had greater flexibility in seeking employment that matched their preferences. The study’s authors noted that “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” The recipients were inclined to search for jobs but were more discerning in their choices.
One participant shared their experience, stating that the cash transfer allowed them to save money and be selective about job opportunities. They emphasized that they no longer felt pressured to accept low-quality jobs simply for immediate income, enabling them to find a position that was a better fit.
Another recipient described how the cash transfers allowed them to accept a lower-paying entry-level job in a desired field, which ultimately led to a six-figure salary within two years. They mentioned, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
The study reported no significant differences in employment rates between the larger payment recipients and the control group. Recipients mainly increased their spending on essential needs, including food, housing, and transportation. The payments also assisted with health-related expenses. While the initial financial support alleviated stress, many of the health benefits diminished after two years.
Sam Altman supports the concept of universal basic income, particularly in the context of how artificial intelligence is transforming the labor market and displacing certain jobs.
This article was corrected to clarify that the study was conducted by Sam Altman’s nonprofit, OpenResearch, rather than OpenAI.