Sam Altman, CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit, OpenResearch. This initiative aimed to analyze the effects of providing unconditional cash payments to individuals living below the poverty line over 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 individuals, forming the control group, received only $50.
Findings from the research indicated that those receiving the larger payments experienced increased flexibility in job searching, allowing them to pursue positions that better matched their interests and aspirations. The authors noted that financial assistance can enhance individuals’ capacity to make employment choices that align with their unique goals and values. While recipients were more engaged in job hunting, they exhibited greater selectivity in their choices.
One participant shared how the cash transfers enabled them to save, stating, “For once, I’m in a position to be picky. I don’t have to take a crappy job just because I need income right now.” Another recipient reported that they accepted a lower-paying entry-level job in a desired field, which ultimately led to a six-figure salary within two years, emphasizing that without the cash transfers, they would not have been able to afford that initial pay cut.
The study did not show significant differences in employment rates between those who received larger payments and those in the control group. However, recipients did increase their spending on essential needs, including food, housing, and transportation. The support also contributed to funding health-related expenses, but while the payments initially alleviated stress, many of the health advantages diminished after two years.
Sam Altman has consistently advocated for universal basic income as a potential response to the disruptions in the labor market caused by artificial intelligence reducing job availability.
An earlier version of this story inaccurately attributed the study to OpenAI rather than OpenResearch.