Sam Altman, CEO of OpenAI, has funded the most extensive basic income study in the United States to date. Through his nonprofit organization, OpenResearch, a research initiative was launched 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 earned less than $30,000 annually. A third of the participants received $1,000 per month, while the rest, serving as the control group, received only $50.
Findings from the study indicated that those who received the larger payments had greater freedom to seek out jobs that were more aligned with their personal desires 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.”
One participant shared, “Thanks to the cash transfers and being able to build up my savings, I’m now in a position to be selective,” explaining that they no longer had to accept undesirable jobs solely out of immediate financial need. Another recipient recounted how the cash assistance enabled them to take a lower-paying entry-level role in a field they were passionate about, ultimately leading to a six-figure salary within two years. “Without the cash transfers, there is no way I could have taken that pay cut,” they stated.
The study revealed no significant employment differences between recipients of the higher payments and those in the control group. Recipients primarily increased their spending on essential needs, with food, housing, and transportation as major expenses. These payments also helped cover health-related expenses, such as braces and treatment for alcohol dependency. Although the initial cash aid alleviated stress, many of the health benefits diminished after two years.
Sam Altman has advocated for universal basic income as a response to the shifting labor landscape influenced by artificial intelligence, which is anticipated to displace certain jobs.
An earlier version of this article incorrectly attributed the study to OpenAI; it was conducted by Altman’s nonprofit, OpenResearch.