Sam Altman and other tech leaders like Elon Musk and Jack Dorsey have long supported Universal Basic Income (UBI) as a solution to job loss caused by technology. In 2016, Altman stated his confidence that technology will eliminate traditional jobs and create massive new wealth. He believes that UBI will become essential on a national scale.
A study funded by Open Research began in 2020. It involved low-income participants from Illinois and Texas who received $1,000 a month. A control group of 2,000 others received $50 a month. Participants in the study had household incomes under $29,000.
The study, one of the longest of its kind, aimed to understand the impact of UBI. Researchers found that participants used the money for essentials like food, rent, and transportation. Critics often claim that people will misuse UBI funds, but this study shows otherwise. People tend to spend the money responsibly.
The study also found that while recipients spent more on housing and food, they worked slightly less. Labor participation declined by 2%, which equates to about eight fewer workers annually. Both positive and negative effects were observed. Some participants found better jobs, while others reduced work hours to spend more time with family.
A Vox news article discussed the need to separate the case for UBI from the uncertainties of AI. The article argues that UBI should be considered regardless of AI's impact. It states that volatile AI development should not determine UBI's fate. Altman has warned that without proper public policy, most people could end up worse off due to AI taking jobs.
For years, major tech figures like Elon Musk and Geoffrey Hinton have believed that AI will cause job loss and increase wealth inequality. They see UBI as a necessary measure to protect people.
Germany requires companies to notify their work councils about new technologies, including AI. These councils discuss how technology will affect work. Such policies could help manage the impact of AI.
As AI tools continue to evolve, many jobs are at risk. Keeping track of these changes is crucial. Understanding which jobs are affected and how can help in planning for the future.
UBI studies show that people spend the money wisely. As technology advances, the need for UBI becomes more apparent. Preparing for a future where AI plays a significant role in the economy is essential.