Sam Altman, the 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 three-year period.
The study involved 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 as cash payments, while the remaining individuals in the control group received only $50.
Findings indicated that those who received the larger payments had greater flexibility in seeking jobs that matched their preferences. The study’s authors emphasized that cash payments can enhance individuals’ ability to make employment decisions that align with their circumstances, goals, and values, with recipients showing an increased tendency to search for jobs, albeit being more selective in their choices.
One participant shared, “Thanks to the cash transfers and my ability to save, I can finally be picky,” noting that they do not feel compelled to accept an undesirable job simply for immediate income. Another recipient mentioned that the additional funds allowed them to take a lower-paying position in a desired field, which ultimately led to a six-figure salary within two years, stating, “Without the cash transfers, I could never have taken that pay cut.”
While the study observed no significant differences in overall employment levels between those receiving larger payments and the control group, recipients tended to increase their spending primarily on essentials such as food, housing, and transportation. Additionally, the cash payments enabled recipients to afford health-related expenses, like braces and addiction treatment. Although the payments initially alleviated stress, many of the health benefits diminished after two years.
Altman has been an advocate for universal basic income, particularly as artificial intelligence transforms the job market and displaces certain roles.
A correction has been issued, clarifying that the study was conducted by Altman’s nonprofit OpenResearch, not OpenAI.