Sam Altman, the CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit organization OpenResearch. The study aimed to provide unconditional cash payments to individuals living below the poverty line for a duration of three years.
The research involved around 3,000 participants between the ages of 21 and 40 from Texas and Illinois, all of whom earned less than $30,000 annually. One third of the participants received $1,000 per month, while the remaining participants, serving as a control group, received $50.
Results indicated that those receiving the larger payments had increased flexibility to seek jobs that better suited their preferences. The authors of the study noted that cash transfers enhance individuals’ ability to make employment choices aligned with their personal circumstances and aspirations. While recipients were statistically more likely to be looking for jobs, they were also more discerning in their choices.
One participant shared that the cash transfers allowed them to accumulate savings, enabling them to choose employment opportunities more carefully rather than being pressured to accept unsatisfactory jobs for immediate income. Another participant noted that they utilized the financial support to accept a lower-paying entry-level position in their desired field, which ultimately led to a six-figure salary within two years.
The research found no significant differences in overall employment rates between the larger payment recipients and the control group. Recipients primarily increased their spending on essential needs, such as food, housing, and transport. The funds also supported crucial health expenses like braces and treatments for alcoholism. Though the payments initially alleviated stress, many of the health benefits diminished after two years.
Altman has been advocating for universal basic income, especially as artificial intelligence continues to reshape the labor market and replace certain jobs.