Sam Altman, the CEO of OpenAI, has financed the largest basic income research initiative conducted in the United States. 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. A third of the participants received $1,000 per month, while another group, serving as the control, received only $50.
Findings from the study indicated that those receiving the larger payments experienced increased flexibility in job searching, allowing them to pursue positions that aligned with their personal goals and values. The authors of the study noted that cash assistance enhances individuals’ ability to make employment choices that reflect their circumstances and aspirations.
One participant expressed that the cash transfers allowed them to save money, giving them the ability to be selective in their job search. They stated, “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 journey of taking a lower-wage entry-level job in their desired field that eventually led them to a six-figure salary within two years. They credited the cash transfers with making it possible for them to accept a pay cut at the beginning of their career.
The study revealed no significant difference in employment rates between those who received the larger payments and the control group. The increased financial support primarily led recipients to spend more on basic necessities such as food, housing, and transportation. Additionally, they used the funds for essential health-related expenses like braces and addiction treatment. While the initial payments helped alleviate stress, many of the health improvements diminished after two years.
Sam Altman has advocated for universal basic income, particularly as advancements in artificial intelligence transform the labor market and threaten certain job sectors.
Correction: A previous version of this article incorrectly identified the organization conducting the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.