Sam Altman, the CEO of OpenAI, has funded the largest basic income study in the United States to date, conducted by his nonprofit organization OpenResearch. This study provided unconditional cash payments to individuals living below the poverty line for three years.
The research involved 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned less than $30,000 annually. One-third of the participants, referred to as the recipients, received $1,000 each month, while the control group was given $50.
Results indicated that those receiving the larger payments felt more empowered to pursue jobs that aligned with their preferences. The study’s authors 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 and be more discerning in job selection, stating, “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 their experience of taking a lower-paying entry-level position in a field of interest, which eventually led to a six-figure salary in two years, asserting, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
Despite the positive outcomes regarding job selection, the study did not find significant differences in employment levels between the recipients and the control group. The additional income led to increased spending on basic necessities such as food, housing, and transportation, and enabled recipients to address health needs like braces and alcohol treatment. Although the cash transfers initially reduced stress, many of the health benefits diminished after two years.
Sam Altman has been a vocal advocate for universal basic income as automation and artificial intelligence continue to reshape the job market.
Correction: An earlier version of this story incorrectly stated the organization conducting the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.