Sam Altman, CEO of OpenAI, has financed the most extensive 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 over a span of three years.
The study involved approximately 3,000 participants from Texas and Illinois, all aged between 21 and 40, with annual incomes below $30,000. One group of participants received $1,000 monthly, while a control group was given only $50.
Results indicated that those receiving the larger payments experienced greater flexibility in seeking jobs that matched their aspirations. The authors of the study noted that cash payments enhanced individuals’ ability to make employment choices that suited their personal circumstances and objectives. Participants receiving the larger amounts were more likely to actively search for jobs, but they did so with increased selectivity.
One participant expressed that the cash transfer allowed them to build savings, enabling them to be more selective in their job search. They stated, “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 mentioned using the funds to accept a lower-paid entry-level job in a 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.”
The study found no significant difference in employment rates between those receiving the larger payments and those in the control group. Recipients primarily used the money for basic needs such as food, housing, and transportation. The payments contributed to health-related expenses, addressing issues like braces and treatment for alcoholism. While the cash transfers initially reduced stress, many health benefits diminished after two years.
Altman advocates for the concept of universal basic income, especially as advancements in artificial intelligence impact the job landscape and cause job displacement.
Correction: An earlier version of this story incorrectly identified the group conducting the study as OpenAI; it was, in fact, Sam Altman’s nonprofit, OpenResearch.