Sam Altman, the CEO of OpenAI, has financed the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. The initiative aimed to provide unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study involved around 3,000 participants aged between 21 and 40 from Texas and Illinois, all of whom earned less than $30,000 annually. A third of the participants received $1,000 per month, while the remaining participants, serving as the control group, received $50.
Research findings indicated that those receiving the larger cash payments enjoyed greater flexibility in job searching, allowing them to pursue employment that better matched 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 more likely to be searching for a job, but they were more selective.”
A participant shared their experience, stating, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” emphasizing the ability to wait for a suitable job offer instead of settling for any available position. Another recipient described how the cash transfers enabled them to accept a lower-paying entry-level role in their desired field, which ultimately led to a six-figure salary within two years. They remarked, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
Despite the observations regarding increased job search flexibility, the study reported no significant difference in overall employment levels between the recipients and the control group. The funds received primarily facilitated spending on essential needs such as food, housing, and transportation, and also aided in addressing health-related expenses, including braces and treatment for alcoholism. Although the payments initially alleviated stress, some health benefits appeared to diminish after two years.
Sam Altman has advocated for universal basic income, especially as artificial intelligence continues to transform the labor market and potentially displace jobs.
Correction: An earlier version of this article incorrectly identified the organization that conducted the study. The research was undertaken by Sam Altman’s nonprofit, OpenResearch, not OpenAI.