Sam Altman, CEO of OpenAI, financed the most extensive basic income study in the United States to date. His nonprofit organization, OpenResearch, collaborated with researchers to provide unconditional cash payments to individuals living below the poverty line for a duration of three years.
Approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually, took part in the study. One-third of these individuals received $1,000 per month, while the remaining participants, forming the control group, were given $50 each month.
The results indicated that those who received the larger payments had more flexibility to pursue job opportunities that better matched 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 shared, “Thanks to the cash transfers and the ability to save, I’m in a position for once to be picky. I don’t have to take a mediocre job just because I need income right now. I can afford to wait for the right opportunity.”
Another recipient mentioned that they accepted a lower-paying entry-level position in their desired field, eventually leading to a six-figure salary within two years. They stated, “Without the cash transfers, there’s no way I could have taken that pay cut.”
The study revealed no significant difference in employment levels between those receiving larger payments and the control group. Recipients primarily redirected their increased funds toward essential needs. The main expenditures included food, housing, and transportation. The payments were also instrumental in covering health-related expenses like braces and alcohol treatment. While the initial cash transfers alleviated stress, many of the associated health benefits diminished after two years.
Sam Altman has advocated for universal basic income as artificial intelligence continues to reshape the labor market and displace certain jobs.
Correction: An earlier version of this article incorrectly identified the organization that conducted the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.