Sam Altman, CEO of ChatGPT-maker OpenAI, has funded the largest basic income study in the U.S. through his nonprofit, OpenResearch. The study, conducted in collaboration with researchers, provided unconditional cash payments to people living below the poverty line for three years.
The study involved around 3,000 participants aged between 21 and 40 from Texas and Illinois, all earning less than $30,000 per year. One-third of the participants received $1,000 per month, while the rest received $50 as a control group.
Findings indicated that recipients of the larger cash payments had more freedom to seek employment that matched their preferences. The study’s authors wrote, “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 jobs but were more selective.
One participant highlighted the benefit, saying, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky. I don’t have to take a job just because I need income now. I have the opportunity to hold out and try and find the right fit.” Another recipient noted that the payments allowed them to accept a lower-paid position in their desired field, which later led to a six-figure salary. “If I didn’t have the cash transfers, there is no way I could have taken that pay cut,” they said.
While the study showed no major difference in overall employment levels between the two groups, the recipients primarily used the funds for basic needs such as food, housing, and transportation. The payments also helped with health expenses like braces and alcoholism treatment. Although the payments initially reduced stress, many health benefits diminished after two years.
Sam Altman supports the idea of universal basic income, especially as AI continues to transform the labor economy and eliminate certain jobs.
Correction: An earlier version of this story misstated the group that conducted the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.