Sam Altman, CEO of OpenAI, 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.
Approximately 3,000 participants aged 21 to 40 from Texas and Illinois were involved in the study, all earning less than $30,000 annually. One-third of the participants received $1,000 per month, while the remaining participants, forming the control group, received $50.
The findings indicated that those receiving the higher payments had more freedom to pursue employment that suited their preferences. The authors of the study 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 expressed satisfaction with the cash transfer, stating, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky. 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 that they accepted a lower-paying entry-level position in a desired field and within two years achieved a six-figure salary. They remarked, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
The study did not reveal significant differences in employment levels between the recipients of larger payments and those in the control group. Recipients primarily used their payments to cover basic needs, including food, housing, and transportation. The funds also assisted in addressing health costs such as braces and treatment for alcoholism. While the cash transfers initially alleviated stress, many of the health benefits diminished after two years.
Altman has been a strong advocate for universal basic income, especially as artificial intelligence reshapes the job market and disrupts various employment sectors.
Note: An earlier version of this article incorrectly identified the organization behind the study as OpenAI; it was, in fact, Sam Altman’s nonprofit OpenResearch.