Sam Altman, CEO of OpenAI, has financed the largest basic income experiment in the United States through his nonprofit, OpenResearch. This study has provided individuals living below the poverty line with unconditional cash payments over a period of three years.
The research involved 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned less than $30,000 annually. A third of these participants received $1,000 monthly, while the control group only received $50.
Findings indicated that those who received the larger payments had greater flexibility in seeking jobs that aligned with their personal preferences. The authors of the study highlighted that “cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” Recipients were reportedly more selective in their job searches.
One participant expressed, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” noting that they could afford to wait for a suitable job rather than settle for an unsatisfactory one. Another recipient took a low-paying entry-level role in a desired field and, within two years, achieved a six-figure salary, crediting the cash transfers for enabling this transition.
The study did not show significant differences in employment levels between the recipients and the control group. Recipients primarily increased their spending on essential needs, such as food, housing, and transportation. The payments also assisted with health-related expenses, including treatment for addiction. Although the cash transfers initially alleviated stress, many health benefits diminished after two years.
Altman has advocated for universal basic income, particularly as AI technology continues to reshape the job market and displace certain jobs.
In an earlier version of this article, a misstatement concerning the group conducting the study was corrected; it was Sam Altman’s nonprofit OpenResearch, not OpenAI.