Altman Releases US' Largest Basic Income Study's Findings

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Facts

  • The results of a three-year study on universal basic income, carried out in Illinois and Texas by OpenResearch — a group backed by OpenAI founder Sam Altman — are out.1
  • The study involved around 3K people aged 21-40, earning less than $30K annually. For three years, 1K participants received $1K a month, while a control group of 2K received $50 a month.2
  • The study's results reportedly provide insights into the sustainability of a universal basic income model in a possible future with a critical role played by artificial intelligence (AI).3
  • It found that those receiving $1K worked fewer hours weekly than those receiving $50 monthly. Every participant was at or under 300% of the federal poverty line.1
  • In addition, Americans who received $1K a month demonstrated 'greater agency to make decisions,' including preparing for the future and 'expressing interest in new business ventures.'4
  • Altman's interest in the project reportedly stemmed from predictions that AI and automation could obsolete jobs and that society may need a universal basic income model to ensure equitable wealth distribution.5

Sources: 1Bloomberg, 2Quartz, 3Observer (NY), 4Business Insider and 5The Pinnacle Gazette.

Narratives

  • Narrative A, as provided by Vox. The Sam Altman-backed study explored how AI-induced job losses might necessitate universal basic income. It highlighted that cash provides flexibility and reduces stress. Despite mixed results, the need for universal basic income as an effective anti-poverty tool is evident, independent of AI advancements.
  • Narrative B, as provided by Wired. This study shows that giving $1K monthly to poor Americans didn't improve their long-term financial health and could potentially increase their dependence on financial assistance. So, while cash grants help meet immediate needs, they aren't a comprehensive solution for job loss due to AI.

Predictions