Sam Altman, the CEO of OpenAI, has initiated the largest basic income experiment in the United States through his nonprofit organization OpenResearch. This significant study aimed to provide unconditional cash payments to individuals living below the poverty line for a period of three years.
The research involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned less than $30,000 annually. One group of participants received $1,000 per month, while a control group received only $50.
The findings revealed that those who received the larger payments experienced greater flexibility in their job searches, allowing them to pursue careers that better matched their aspirations and values. The authors of the study pointed out that cash payments empowered individuals to make employment choices that were more aligned with their personal circumstances and objectives.
One participant expressed how the cash assistance enabled them to build savings and be selective in their job search, stating, “I don’t have to take a crappy job just because I need income right now.” Another participant even shared that they could accept a lower-paying entry-level job in their preferred field, which eventually led to a six-figure salary within two years. They credited the cash transfers as a crucial factor in allowing them to make that choice.
While the study noted that there was no significant difference in overall employment rates between the two groups, the recipients did allocate their increased funds primarily to basic necessities such as food, housing, and transportation. The payments also supported health-related expenses, from dental braces to addiction treatment. Although the initial financial relief reduced stress levels, some health benefits diminished after two years.
Sam Altman believes in universal basic income as a potential solution, particularly as artificial intelligence transforms the job market and displaces certain jobs. His initiative highlights the ongoing conversation about how innovative financial support can enhance job flexibility and quality of life for low-income individuals.
As we consider the implications of this study, it reflects a hopeful perspective on how basic income can foster greater individual agency in a rapidly changing economic landscape, encouraging people to seek fulfilling employment rather than settling for any available job. The results of this research may serve as a foundation for future discussions around universal basic income as a potential means to support those affected by shifts in the labor market.