Universal Basic Income (UBI) has long been a topic of debate. Proponents advocate for its ability to reduce poverty, while critics raise concerns about its potential impact on work ethic.
To gain further insights into how UBI could impact people, Sam Altman's OpenResearch conducted a three-year randomized controlled trial that gave 1,000 low-income adults each $1,000 per month and a control group of 2,000 people $50 per month. The results revealed surprising insights about work, motivation and societal values.
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Increased Value of Work
Unlike what critics believe about UBI, OpenResearch's study found that recipients valued work more after receiving unconditional cash transfers. Participants reported a 2% increase in their belief in the intrinsic importance of work, measured through survey responses to questions from the World Values Survey.
Recipients of the money strongly agreed with statements like "work is a duty toward society" and "people who don't work turn lazy." The shift in attitude also extended to policy preferences and indicated that recipients of UBI were more likely to support work requirements for programs like Medicaid.
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Flexibility and Better Job Matches
The study participants worked fewer hours on average, but they didn't abandon work altogether. With the additional cash, they could make employment decisions better aligned with their long-term goals, family needs and personal values.
Some used the funds to pursue education, certifications or new career paths, while others used it to allow themselves to take more time to find more meaningful work. While many in the study worked fewer hours, OpenResearch concluded that this wasn't due to laziness but rather to the empowerment that more financial stability provided.
For instance, a recipient, Lisa, told OpenResearch that the extra money allowed her to take a temporary pay cut to pursue a role with better growth opportunities. "If I didn't have that money … there is no way I could have taken that pay cut," she explained. She credited her success to her work ethic, stating, "If you don't have work ethic and you're not out here trying to give it your all in those areas, then you’re not gonna be able to grow."
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Independence and Self-Reliance
Recipients consistently emphasized the importance of independence and self-reliance, viewing work as a critical pathway to achieving these goals. Many associated unemployment with guilt and frustration, expressing a desire to contribute meaningfully to society and provide for their families without relying on government assistance.
One participant, Kenzie, described how the cash transfer allowed her to invest in education and skills, ultimately securing a more stable job. "This program has been really key in helping me transform my life," she said, stressing that her success stemmed from her drive and determination.
Lessons for Policymakers
The findings challenge the notion that UBI diminishes the value of work. Instead, the study suggests that unconditional cash transfers can empower individuals to pursue meaningful employment and reinforce the societal importance of work. By reducing financial stress, OpenResearch concludes that UBI may provide recipients with the stability to make thoughtful career decisions, ultimately leading to greater job satisfaction and productivity.
As discussions around UBI continue, this experiment highlights its potential to balance financial support with maintaining a strong work ethic. This result defies common criticisms and opens the door for further exploration.
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