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 collaborated with researchers to provide 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 of whom earned less than $30,000 annually. One-third of these participants received $1,000 per month, while the remaining individuals, who served as a control group, received $50.
Results from the study indicated that those receiving the larger payments had more freedom to pursue jobs that suited their preferences. The authors of the study noted that having access to cash enhanced participants’ ability to make employment decisions that aligned with their personal circumstances, goals, and values. Although recipients were more likely to be job searching, they became more selective in their choices.
One participant shared, “Thanks to the cash transfer and the ability to save, I can finally be picky,” explaining that, “I don’t have to settle for a poor job just to secure an income immediately. I can afford to wait for the right opportunity.” Another recipient mentioned they accepted a lower-paying entry-level role in their desired field, which eventually led them to earn a six-figure salary within two years. “Without the cash transfers, I wouldn’t have been able to take that pay cut,” they remarked.
The study revealed no significant difference in employment rates between those who received the larger payments and those in the control group. Recipients primarily increased their spending on essential needs, including food, housing, and transportation. The payments also assisted individuals in covering health-related expenses, such as braces and alcoholism treatment. While the financial support initially alleviated stress levels, many health benefits diminished after two years.
Sam Altman has been an advocate for universal basic income, particularly as advancements in artificial intelligence disrupt the job market and lead to the loss of certain employment opportunities.
Correction: A previous version of this article incorrectly identified the organization conducting the study. It was Sam Altman’s nonprofit, OpenResearch, rather than OpenAI.