Sam Altman, CEO of OpenAI, funded the largest basic income study in the U.S. through his nonprofit, OpenResearch. The study involved providing unconditional cash payments to people living below the poverty line for three years, in collaboration with researchers.
The study included 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 control group received $50.
The results revealed that those receiving the higher payments had more freedom in job searching, enabling them to be more selective. “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,” wrote the study’s authors.
One participant stated, “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 was able to take a lower-paid entry-level position in a desired field, eventually achieving 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 said.
The study found no significant differences in overall employment levels between the two groups. Recipients primarily increased their spending on basic needs such as food, housing, and transportation, and were able to cover health-related expenses like braces and alcoholism treatment. While initial payments reduced stress, many health benefits diminished after two years.
Sam Altman supports the concept of universal basic income as AI impacts the labor market and eliminates certain jobs.
Correction: An earlier version of this story misstated the group conducting the study. It was Sam Altman’s nonprofit OpenResearch, not OpenAI.