Sam Altman, the CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. This initiative involved providing unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study included approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually. A third of these participants received payments of $1,000 each month, while the remaining participants, forming the control group, were given only $50.
Findings from the study indicated that those receiving the larger cash payments had greater flexibility in pursuing employment that better matched their preferences. The authors of the study 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.”
In interviews, participants shared their experiences. One individual remarked, “Because of the [cash transfer] and being able to build up my savings, I’m in a position for once to be picky,” explaining that they no longer felt pressured to accept unsatisfactory job opportunities. Another recipient noted that with the help of cash transfers, they could accept a lower-paying entry-level job in their desired field and, within two years, achieved a six-figure salary, stating, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
The study did not reveal significant differences in overall employment levels between recipients of the larger sums and the control group. Instead, those receiving the payments mainly increased their spending on essential needs, including food, housing, and transportation. The financial assistance also enabled recipients to address healthcare needs, such as braces and treatment for alcoholism. While the payments initially alleviated stress, many of the health benefits seemed to diminish after two years.
Sam Altman has been a strong advocate for universal basic income, particularly as the rise of artificial intelligence continues to reshape the job market and displace certain positions.
A correction noted that an earlier version of this story inaccurately identified the group conducting the study as OpenAI instead of OpenResearch.