Sam Altman’s Game-Changer: The Largest Basic Income Experiment in U.S. History

Sam Altman, the CEO of OpenAI, has financed the largest basic income experiment in the U.S. to date through his nonprofit organization, OpenResearch. This initiative involved providing unconditional cash payments to individuals living below the poverty line over a span of three years.

The study included approximately 3,000 participants, aged 21 to 40, from Texas and Illinois, all earning under $30,000 annually. A third of these participants received $1,000 monthly, while the remaining group was given just $50.

Findings from the study indicated that those receiving the larger payments enjoyed greater flexibility in their job searches. According to the authors, “Cash can enhance people’s ability to make employment decisions that align with their personal circumstances, objectives, and values. Recipients were more likely to be searching for a job, but they were also more selective.”

One participant reflected, “Thanks to the cash transfer and being able to save, I am finally in a position to be picky.” They emphasized that they no longer felt compelled to accept any job solely for income, allowing them the opportunity to seek a role suited to their aspirations.

Another recipient shared their experience of accepting a lower-paying entry-level job in their desired field, which ultimately led to a six-figure salary within two years. They noted, “Without the cash transfers, I wouldn’t have been able to afford that pay cut.”

The study found no significant difference in overall employment rates between those receiving larger payments and those in the control group. Participants primarily increased their spending on essential needs, such as food, housing, and transportation, and the payments also covered health-related expenses like braces and treatment for alcohol dependence. While the initial cash transfers reduced stress, many health benefits diminished after two years.

Altman has been an advocate for universal basic income, especially as artificial intelligence continues to reshape the labor market and eliminate certain jobs.

Correction: A previous version of this article incorrectly identified the organization that conducted the study; it was Sam Altman’s nonprofit OpenResearch, not OpenAI.

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