Sam Altman, CEO of OpenAI, has funded the largest basic income study in the United States to date through his nonprofit, OpenResearch. The research aimed to provide individuals living below the poverty line with unconditional cash payments over the course of three years.
Approximately 3,000 participants aged 21 to 40 from Texas and Illinois, all with incomes below $30,000 annually, took part in the study. One-third of them received $1,000 each month, while the remaining participants, serving as a control group, received $50.
The findings revealed that those receiving the larger payments enjoyed greater flexibility in seeking jobs that truly matched their interests. The authors of the study noted, “Cash can increase people’s agency to make employment decisions that align with their individual circumstances, goals, and values.” While recipients were more likely to look for jobs, they tended to be more selective in their choices.
One participant shared their experience, stating, “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 highlighted the ability to accept a lower-paying entry-level job in a desired field, which eventually led to a six-figure salary within two years, stating, “If I didn’t have the cash transfers, there is no way I could have taken that pay cut.”
The study indicated no significant difference in overall employment levels between the group receiving higher payments and the control group, with recipients primarily increasing their spending on basic necessities. Expenditures on food, housing, and transportation were the most significant, and the payments also assisted in addressing health needs, such as dental braces and treatment for alcoholism. While recipients initially experienced reduced stress, many of the health benefits diminished after two years.
Sam Altman advocates for universal basic income, especially as AI technology continues to transform the job market and displace certain jobs.
Correction: A previous version of this article inaccurately identified the group that conducted the study, which was Sam Altman’s nonprofit OpenResearch, not OpenAI.