Sam Altman, CEO of OpenAI, has financed the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. The initiative partnered with researchers to provide unconditional cash payments to individuals living below the poverty line over a three-year period.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all of whom earned less than $30,000 annually. A third of the participants received $1,000 per month, while the remaining participants, serving as a control group, received $50.
Findings from the study indicated that those receiving the larger payments had greater flexibility in pursuing jobs that aligned with their preferences. The 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 shared their experience, stating, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky. 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 they accepted a lower-paid entry-level position in their desired field, eventually achieving a six-figure salary within two years, attributing their ability to take that pay cut to the cash transfers.
The study did not show significant differences in employment levels between the recipients and the control group. However, it found that recipients primarily used the payments to meet basic needs, including food, housing, and transportation, as well as to cover health-related costs like braces and alcoholism treatment. Although the payments initially alleviated stress, many of the associated health benefits diminished after two years.
Altman has been an advocate for universal basic income as a means to address the economic changes brought about by artificial intelligence, which has the potential to displace jobs.
Correction: An earlier version of this article incorrectly identified the group that conducted the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.