Sam Altman, the CEO of OpenAI, has funded the largest basic income study to date in the United States through his nonprofit, OpenResearch. This initiative provided unconditional cash payments to individuals living below the poverty line for a three-year period.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually. One-third of these individuals received $1,000 monthly, while the control group received only $50.
Results from the study indicated that those receiving the larger payments had more freedom to pursue jobs that suited their preferences. The authors highlighted that cash support empowers individuals to make employment choices that align with their personal situations, aspirations, and values. While recipients were more likely to be job-seeking, they became more selective about their opportunities.
One participant shared that the cash transfer allowed them to save and be choosier with job applications, stating, “I don’t have to take a crappy job just because I need income right now.” Another recipient mentioned that they could accept a lower-paying entry-level position in a desired field, which later led to a six-figure salary within two years. They acknowledged that without the cash transfers, they wouldn’t have been able to take that pay cut.
The study found no significant difference in employment rates between those who received larger payments and the control group. The recipients tended to use the payments primarily for essential expenses, such as food, housing, and transportation. Additionally, the payments helped cover health-related costs, but while the initial financial support alleviated stress, many health benefits diminished over time.
Altman has been a strong advocate for universal basic income, particularly as artificial intelligence transforms the job landscape and displaces certain occupations.
This article has been corrected to clarify that the study was conducted by Altman’s nonprofit OpenResearch, not OpenAI.