Sam Altman, the CEO of OpenAI, has financed the largest basic income study conducted in the United States to date through his nonprofit organization, OpenResearch. The initiative collaborated with researchers to provide unconditional cash payments to individuals living below the poverty line over a period 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. One-third of the participants received $1,000 per month, while the remaining participants, serving as a control group, received $50.
Findings from the research revealed that those receiving the larger cash payments felt more empowered to search for jobs that truly interested them. The authors 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.”
In recollections shared during interviews, participants expressed how the cash transfers allowed them to be more discerning in their job searches. One individual mentioned that thanks to the cash transfer, they were able to save and finally be selective in their job choices, 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 accepted a lower-paying entry-level job in a desired field, eventually leading to a six-figure salary within two years, an opportunity they attributed to the financial support from the cash transfers.
The study did not reveal significant differences in employment levels between those who received larger payments and the control group; however, recipients did increase their spending on basic necessities, with food, housing, and transportation being the primary expenses. The cash transfers also aided recipients in covering health-related expenses, such as braces and alcoholism treatment. While the initial payments reduced stress levels, many of the associated health benefits diminished after two years.
Altman has been an advocate for universal basic income, especially as advancements in artificial intelligence continue to transform the job market and potentially displace some workers.
Correction: An earlier version of this article incorrectly identified the organization conducting the study as OpenAI instead of Sam Altman’s nonprofit, OpenResearch.