Sam Altman, the CEO of OpenAI, funded the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. This research project provided unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study involved approximately 3,000 participants aged between 21 and 40 from Texas and Illinois, all earning less than $30,000 annually. A third of these individuals received $1,000 each month, while the remaining participants, constituting the control group, were given only $50.
Findings from the study revealed that those receiving the larger payments had more freedom to seek jobs that aligned with their desires. 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 mentioned, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” explaining that they no longer felt pressured to accept unsatisfactory job offers due to immediate financial needs. Another recipient reported taking a lower-paying entry-level job in a desired field, ultimately reaching a six-figure salary within two years, crediting the cash transfers as pivotal in making that decision possible.
Overall, the study did not identify a significant difference in employment levels between the recipients and the control group. The additional income primarily led to increased spending on essential needs such as food, housing, and transportation. Some participants were able to address health needs, including dental care and treatment for alcoholism, thanks to the funds. While the payments initially alleviated stress, many of the health benefits diminished after two years.
Altman has advocated for universal basic income as a potential response to changes in the labor market driven by advancements in artificial intelligence that may lead to job displacement.
Correction: An earlier version of this article mistakenly identified the organization conducting the study as OpenAI instead of Sam Altman’s nonprofit, OpenResearch.