Sam Altman, the CEO of OpenAI, has financed the most extensive basic income study conducted in the United States to date. This initiative, led by his nonprofit organization OpenResearch, aimed to provide unconditional cash payments to individuals living below the poverty line over a three-year period.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned below $30,000 annually. One-third of these participants received $1,000 per month, while the remaining participants, serving as the control group, received only $50.
The findings indicated that those receiving the larger payments had greater flexibility in searching for employment that suited their preferences. According to the study’s authors, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” Recipients were more inclined to pursue jobs but were also more discerning in their choices.
In interviews, participants shared their experiences, with one stating, “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 were no longer compelled to settle for unsatisfactory jobs due to immediate financial needs. Another recipient described how the cash support allowed them to accept a lower-paying entry-level job in a desired field, eventually leading to a six-figure salary within two years, asserting, “If I didn’t have the cash transfers there is no way I could have taken that pay cut.”
The study noted that there were no significant differences in overall employment levels between the recipients and the control group. Recipients primarily increased spending on essential needs, including food, housing, and transportation. The payments also helped cover health-related expenses, such as orthodontic treatments and recovery from alcoholism. While the initial cash relief alleviated stress for many, the health benefits appeared to diminish after two years.
Sam Altman has strongly advocated for the concept of universal basic income, especially as advancements in artificial intelligence are reshaping the labor market and displacing certain jobs.
Correction: An earlier version of this story incorrectly identified the organization conducting the study; it was Sam Altman’s nonprofit OpenResearch, not OpenAI.