Sam Altman, CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit organization, OpenResearch. This initiative provided unconditional cash payments to individuals living below the poverty line for a duration of three years.
The study involved approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all earning less than $30,000 annually. One group received $1,000 monthly, while another group, serving as the control, received only $50.
Findings from the study indicated that those receiving the higher payments had greater flexibility in seeking jobs that suited their preferences. The researchers noted that cash assistance can empower individuals to make employment choices that reflect their personal goals and circumstances. Recipients reported being more engaged in job searches and exercising greater selectiveness.
One participant shared that the cash transfers allowed them to save and become choosier about job opportunities, stating, “I don’t have to take a crappy job just because I need income right now.” Another recipient highlighted how the support enabled them to take a lower-paying position in a desired field, which ultimately led to a six-figure salary within two years, which they could not have achieved without the financial assistance.
The study showed no significant differences in employment rates between recipients of the larger payments and those in the control group. Recipients primarily increased their spending on essential items such as food, housing, and transportation. The payments also supported health-related expenses, including braces and addiction treatment. Although the financial assistance reduced stress initially, many health benefits diminished after two years.
Altman has expressed support for universal basic income in light of how artificial intelligence is transforming the job market and displacing certain positions.
This article has been corrected for a previous error regarding the organization conducting the study, clarifying that it was Sam Altman’s nonprofit OpenResearch and not OpenAI.