Sam Altman, the CEO of OpenAI, has initiated the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. This study aimed to provide unconditional cash payments to individuals living below the poverty line for a duration of three years.
The research involved around 3,000 participants aged between 21 and 40 from Texas and Illinois, all earning less than $30,000 annually. One-third of these participants received $1,000 per month, classified as the recipients, while the remaining participants, known as the control group, received $50.
The findings indicated that those receiving the larger payments had greater flexibility in their job search, allowing them to focus on positions that aligned more closely with their personal goals and values. The authors of the study remarked, “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 were also more selective.”
One study participant shared, “Thanks to the cash transfer and my ability to save, I can finally be choosy,” adding, “I don’t have to accept a poor job offer just for immediate income. I can afford to wait for the right opportunity.”
Another recipient noted that he could accept a lower-paid entry-level position in his desired field, which ultimately led to a six-figure salary within two years. He stated, “Without the cash transfers, I wouldn’t have taken that pay cut.”
The research found no significant disparity in employment rates between the recipients and the control group, suggesting that recipients primarily used the funds for essential living expenses, with groceries, housing, and transportation being the largest costs. The payments also assisted with health-related needs, such as braces and alcoholism treatment. While recipients initially experienced reduced stress, many health benefits diminished after two years.
Sam Altman has been an advocate for universal basic income, especially as artificial intelligence continues to transform the labor market and displace certain jobs.
Correction: This story initially misidentified the organization conducting the study; it was Sam Altman’s nonprofit OpenResearch, not OpenAI.