Sam Altman, the CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit, OpenResearch. This initiative provided unconditional cash payments to individuals living below the poverty line over a three-year period.
The study involved 3,000 participants aged 21 to 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.
The findings revealed that those receiving the larger payments had greater flexibility in seeking employment that better aligned with their preferences and aspirations. 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 not only more likely to search for jobs, but they were also more selective in their choices.
One participant shared, “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 able to choose jobs based on their interests rather than immediate financial need. Another recipient described how the payments allowed them to accept a lower-paying entry-level position in their desired field, ultimately leading to a six-figure salary in just two years. They stated, “If I didn’t have the cash transfers there is no way I could have taken that pay cut.”
The study did not find significant differences in overall employment levels between the recipients and the control group. Participants primarily used the funds for essential needs, such as food, housing, and transportation, and the payments also aided in addressing health issues, like braces and treatment for alcoholism. Although the payments provided initial stress relief, many of the health benefits diminished after two years.
Altman has been an advocate for universal basic income, particularly as artificial intelligence continues to reshape the job market and displace certain positions.
Additionally, it was clarified that the study was conducted by OpenResearch, not OpenAI, as previously stated.