Sam Altman, the CEO of OpenAI, has 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 for three years.
Approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually, took part in the study. One segment of these participants received $1,000 per month, while another group, serving as a control, received $50.
The findings indicated that those who received the larger payments experienced greater flexibility in seeking jobs that aligned with 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,” highlighting that recipients were more likely to look for employment while also being more selective about job opportunities.
One participant expressed that the cash transfer allowed them to build savings and be more discerning in their job search, stating, “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 were able to accept a lower-paying entry-level position in their desired field, which eventually led to a six-figure salary within two years. They remarked, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
The study revealed no significant difference in employment rates between the recipients and the control group. Instead, those receiving larger payments primarily increased spending on essential needs such as food, housing, and transportation. The financial assistance also enabled recipients to address health needs, such as orthodontic care and treatment for alcoholism. Although the cash payments initially alleviated stress, the health benefits diminished over time.
Sam Altman has advocated for universal basic income, particularly as artificial intelligence transforms the labor market and displaces certain jobs.