Sam Altman, the CEO of OpenAI, has financed the largest basic income study in the United States. His nonprofit organization, OpenResearch, partnered with researchers to provide unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study involved about 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 per year. One-third of these participants received $1,000 per month, while the control group received just $50.
Findings revealed that those receiving the larger payments had increased flexibility in their job searches, allowing them to be more selective. The study’s authors noted, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.”
One participant remarked, “Thanks to the cash transfer and being able to save, I can afford to be picky. I don’t have to take a lousy job just for income.” Another recipient shared that they could accept a lower-paid entry-level position in their desired field and, within two years, reached a six-figure salary. “Without the cash transfers, there’s no way I could have taken that pay cut,” they explained.
The study indicated that there were no significant differences in employment levels between the larger payment recipients and the control group. However, it was noted that recipients primarily increased spending on fundamental needs such as food, housing, and transportation. The payments also assisted recipients in covering health-related expenses, such as dental braces and addiction treatment. While the initial cash payments alleviated some stress, many of the health benefits diminished after two years.
Altman has been an advocate for universal basic income as artificial intelligence reshapes the job market and displaces certain jobs.
Correction: An earlier version of this article mistakenly credited the study to OpenAI rather than Altman’s nonprofit, OpenResearch.