Sam Altman’s Bold Move: Can Universal Basic Income Change Lives?

Sam Altman, the CEO of OpenAI, has 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 three-year period.

The study involved approximately 3,000 participants, aged 21 to 40, from Texas and Illinois, all earning less than $30,000 annually. One-third of the participants received $1,000 per month, while the remaining participants, serving as the control group, received $50.

Findings from the study revealed that those who received the larger payments had greater flexibility in seeking jobs that suited their interests. 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 perspective, 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 that the financial assistance allowed them to take a lower-paying entry-level position in their desired field, which ultimately led to a six-figure salary within two years. “If I didn’t have the cash transfers, there is no way I could have taken that pay cut,” they explained.

The study did not find significant differences in employment rates between those who received the higher payments and the control group. Recipients primarily increased their spending on basic needs such as food, housing, and transportation. The cash payments also enabled recipients to address health needs, including orthodontic work and treatment for alcoholism. Although the initial payments helped reduce stress, many of the health benefits diminished after two years.

Sam Altman advocates for the concept of universal basic income, especially as artificial intelligence continues to transform the labor market and eliminate certain jobs.

Correction: An earlier report incorrectly identified the group conducting the study. It was the nonprofit OpenResearch led by Sam Altman, not OpenAI.

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