Sam Altman, the CEO of OpenAI, has financed the largest basic income study 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 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually. One-third of the participants, referred to as recipients, received $1,000 per month, while the control group received $50.
Findings from the study indicated that those receiving larger amounts had increased flexibility to pursue jobs that better matched their interests. The authors noted that cash payments can enhance people’s ability to make employment decisions that align with their personal circumstances and goals. Recipients were found to be more likely to seek employment, but they were also more selective in their choices.
One participant shared that the cash transfers allowed them to build savings, putting them in a position to be more discerning about job opportunities. They emphasized that the financial support meant they no longer had to accept a low-quality job out of immediate necessity, allowing them the chance to find a role that was a better fit.
Another recipient explained how they used the financial assistance to accept a lower-paying job in a desired field, which ultimately led to a significant salary increase within two years. They credited the cash transfers with enabling them to make that career move without the burden of immediate financial pressure.
The research found no significant difference in employment rates between the recipients and the control group. Participants primarily increased their spending on essential needs, including food, housing, and transportation. The payments also assisted recipients in covering health-related expenses, such as braces and alcohol treatment, although the initial stress relief diminished after two years.
Altman has advocated for universal basic income as a potential solution in a changing labor market influenced by advances in artificial intelligence.
Note: An earlier version of this article incorrectly attributed the study to OpenAI rather than Sam Altman’s nonprofit, OpenResearch.