Sam Altman, the CEO of OpenAI, has financed the largest universal basic income study in the United States to date 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 research engaged around 3,000 participants aged between 21 and 40 from Texas and Illinois, all earning less than $30,000 annually. A third of these individuals received monthly payments of $1,000, while the remaining participants were allocated $50 each month as a control group.
Findings from the study indicated that those receiving the larger payments experienced greater flexibility in pursuing employment that suited their preferences. 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 shared their experience, stating, “Because of the cash transfer and being able to build up my savings, I’m in a position for once to be picky,” and added, “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-paying entry-level position in a desired field, which eventually led them to a six-figure salary within two years. They remarked, “If I didn’t have the cash transfers there is no way I could have taken that pay cut.”
While the study observed no significant difference in employment levels between the two groups, it found that recipients increased their spending primarily on basic necessities, including food, housing, and transportation. The cash payments also assisted in covering health-related expenses, such as braces and treatment for alcoholism. Although the initial cash assistance reduced stress levels, many of the associated health benefits diminished after two years.
Altman has consistently advocated for universal basic income as a strategy to address the shifts in the labor market brought about by advancements in artificial intelligence.
Correction: An earlier version of this article incorrectly identified the organization conducting the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.