Sam Altman, the CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. The research aimed to provide unconditional cash payments to individuals living below the poverty line for a three-year period.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually. One-third of these participants received $1,000 each month, while the remaining participants, who served as the control group, were given $50.
Findings from the study revealed that those receiving the larger payments enjoyed greater flexibility in job searching, allowing them to pursue employment that matched their personal preferences. 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 study participant remarked that the cash transfers allowed them to save money, enabling them to be choosy in their job search. “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,” they explained.
Another recipient shared that they could accept a lower-paying entry-level position in their desired field, leading to a six-figure salary within two years. They stated, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
The study did not show significant differences in employment levels between those who received larger payments and those in the control group. Recipients primarily used the funds for basic needs such as food, housing, and transportation, and some were able to address health-related expenses like braces and treatment for alcoholism. While the payments initially alleviated stress, the health benefits diminished after two years.
Altman has been an advocate for universal basic income, particularly as artificial intelligence continues to transform the job market and displace certain jobs.
Correction: An earlier version of this report mistakenly identified the organization conducting the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.