Sam Altman, CEO of OpenAI, has invested in the largest basic income study conducted in the U.S. His nonprofit, OpenResearch, collaborated with researchers to provide unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom had annual incomes of less than $30,000. One-third of these participants received $1,000 per month, while the remaining participants, designated as the control group, received only $50.
Findings from the study indicated that recipients of the larger payments had greater flexibility in seeking employment that aligned with their interests and aspirations. The authors noted, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” Although recipients were more likely to look for jobs, they tended to be more selective in their choices.
One participant highlighted the impact of the cash transfers, stating, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” and added, “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 their experience of accepting a lower-paid entry-level job in a desired field, leading to a six-figure salary within two years. They emphasized that without the cash support, they would not have been able to make such a transition.
The study did not show significant differences in employment rates between those receiving larger payments and the control group. Recipients primarily utilized the funds for essential expenses, with food, housing, and transportation being the major expenditures. The payments also enabled them to address health needs, such as getting braces and treatment for alcoholism. While the initial cash infusion reduced stress levels, the long-term health benefits diminished after two years.
Sam Altman has been a vocal advocate for universal basic income as a potential solution to job displacement due to advancements in artificial intelligence.
Correction: A previous version of this article incorrectly identified the organization conducting the study. The research was led by Sam Altman’s nonprofit OpenResearch, not OpenAI.