Sam Altman, the CEO of OpenAI, has sponsored the largest basic income study conducted in the United States to date. His nonprofit organization, OpenResearch, collaborated with researchers 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 earning under $30,000 annually. One group received $1,000 per month, while a control group was given $50.
Results indicated that those who received the larger payments enjoyed greater flexibility in seeking desirable job opportunities. 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 more likely to be searching for a job, but they were more selective.”
One participant expressed that the cash transfers allowed them to save money and become choosier in their job search. They stated, “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 could accept a lower-paying entry-level position in their desired field, which later led them to a six-figure salary within two years. They acknowledged that without the cash transfers, they would not have been able to make such a decision.
The study also revealed no significant difference in employment rates between the recipients and the control group. However, those who received the larger payments did increase their spending on basic needs, with food, housing, and transportation being the most significant expenditures. The payments also helped cover health expenses, including dental braces and alcoholism treatment. While the cash transfers initially alleviated stress, many of the health benefits diminished after two years.
Altman has advocated for universal basic income, especially in light of how artificial intelligence is transforming the job market and eliminating certain positions.
Correction: An earlier version of this article incorrectly stated that OpenAI conducted the study; it was Sam Altman’s nonprofit OpenResearch that was responsible for the research.