Basic income can provide economic stability without drastically changing the work ethic of recipients.
In July, a secret three-year project came to light. OpenResearch had conducted the most extensive universal basic income study, funded by OpenAI CEO Sam Altman. At the time, it offered initial results. Now, nearly six months later, new findings challenge the main argument against the measure.
The underlying story. OpenResearch studied 3,000 residents of Texas and Illinois with incomes under $28,000. One-third received $1,000 monthly for three years without strings attached, while the rest, a control group, received $50 monthly.
The study delivered $45 million in total. Of that, $14 million came from Altman, who raised an additional $60 million to fund the payments and support the study, led by Elizabeth Rhodes, OpenResearch’s director of research.
Preliminary findings. Data from OpenResearch in July showed those receiving $1,000 monthly increased their spending by an average of $310, primarily on food, rent, or transportation. Recipients also offered more support to others in need compared with the control group.
While researchers found “no direct evidence of improved access to medical care or improvements in physical and mental health,” they noted “significant reductions in stress, mental distress, and food insecurity during the first year.” However, these effects faded by the program’s second and third years. The researchers concluded, “Cash alone cannot address challenges such as chronic health conditions, lack of child care, or the high cost of housing.”
New findings from the study. Interestingly, beneficiaries valued work more after receiving recurring monthly payments without strings attached, challenging one of the most common arguments against such programs.
In their new article, researchers examined how the payments affected beneficiaries’ political opinions, participation, and attitudes toward work. Political views, including opinions on broader cash transfer programs, remained largely unchanged. According to David Broockman, co-author of the study, “It’s sort of fascinating, and it underscores the kind of durability of people’s political views. Lots of people who felt mildly supportive of programs like this before stayed mildly supportive; people who were opposed stayed opposed.”
The opposite of laziness. For Rhodes, the study revealed a “greater sense of the intrinsic value of work” among participants. The researchers noted a strong belief that work should remain mandatory to receive government support, such as Medicaid or a hypothetical future unconditional cash transfer program.
Although the study reported a slight increase in unemployment among recipients, Rhodes said attitudes toward work were largely unchanged. “It’s interesting that it’s not a change in the value of work. If anything, they value work more. And that’s reflected—people are more likely to be searching for a job, more likely to have applied for jobs.”
Implications for future programs. Broockman suggested the study’s findings could guide the design and success of other basic income experiments. He emphasized the importance of visibility and transparency if basic income is to become government policy, noting that public awareness of government spending is often limited.
Challenges of a promising proposal. The Altman-funded study offers valuable lessons for the future design and implementation of similar programs. While the immediate benefits of basic income seem clear, its long-term sustainability depends on complementary social services, such as affordable housing, which remain critical global issues.
Moreover, public perception and transparent communication about program guidelines will be key to overcoming political and social barriers. The three-year experiment didn’t confirm the fears of critics or the expectations of the measure’s most optimistic advocates, but it demonstrated that basic income can provide economic stability without drastically altering political attitudes or work ethics. And that marks a significant step forward.
Image | TechCrunch
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