Sam Altman, the CEO of OpenAI, has spearheaded the largest study on basic income in the United States through his nonprofit organization, OpenResearch. This ambitious initiative aimed to explore the effects of unconditional cash payments on individuals living below the poverty line over a three-year period.
In this comprehensive study, 3,000 participants aged between 21 and 40 in Texas and Illinois were selected, all of whom earned less than $30,000 annually. The participants were divided into two groups: one-third received $1,000 each month, while the remainder was allocated $50, serving as the control group.
The findings revealed that those who received the $1,000 monthly payments experienced greater autonomy in their job search. The study’s authors noted, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” Participants reported that the financial support allowed them to seek out jobs that they truly desired, rather than being forced to accept any available position due to financial constraints.
One participant shared, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” emphasizing how the payments provided her the flexibility to wait for a job that was a better cultural fit. Another recipient shared a success story of securing a lower-paid entry-level position in a field she was passionate about, which eventually led to a six-figure salary within two years—a pathway that would have been inaccessible without the initial financial support.
While the study observed that the employment levels between the two groups remained largely unchanged, it noted that the recipients primarily utilized the funds for essential needs such as food, housing, and transportation. Additionally, some funds were allocated to health-related expenses, including braces and treatment for alcoholism. While the payments initially alleviated some stress, many of the health benefits diminished after two years.
Sam Altman has long advocated for universal basic income, especially in light of the potential disruptions the rise of artificial intelligence may bring to the employment landscape.
This study presents a compelling narrative about the potential of unconditional cash transfers to enhance individual decision-making and improve quality of life, paving the way for innovative discussions on income support as a tool for economic empowerment in a changing job market.
As AI continues to reshape the economy, initiatives like this might inspire more comprehensive solutions to support individuals in navigating their career paths and personal growth.