Sam Altman, the CEO of OpenAI, has initiated the largest basic income study in the United States through his nonprofit organization, OpenResearch. The project involved providing unconditional cash payments to individuals living below the poverty line for a period of three years.
Approximately 3,000 participants, aged 21 to 40 from Texas and Illinois, earning less than $30,000 annually, were part of the study. One-third of these participants received $1,000 per month, categorized as recipients, while the remaining participants, forming the control group, received only $50.
The findings revealed that those who received the larger cash payments had greater flexibility in seeking jobs that better aligned with their preferences and aspirations. The study concluded that financial support can empower individuals to make employment choices that reflect their personal circumstances and goals.
One participant shared, “Thanks to the cash transfer, I have finally been able to be selective with my job choices. I don’t have to accept a poor job just out of necessity; I can afford to wait for the right opportunity.” Another recipient expressed that the financial assistance allowed them to take a lower-paying entry-level position in a field they were passionate about, ultimately leading to a six-figure salary within two years. They noted, “Without the cash transfers, there’s no way I could have accepted that pay cut.”
The study did not reveal significant differences in employment levels between the cash recipients and those in the control group. Most of the spending by recipients went towards essential needs such as food, housing, and transportation. Additionally, the payments helped cover health-related expenses like braces and addiction treatment. While the initial cash assistance reduced stress, many of the health benefits diminished after two years.
Sam Altman has been an advocate for universal basic income, particularly in light of the impact artificial intelligence may have on the job market and the future of work.