1,000 low-income adults receiving $1,000 UBI monthly for 3 years resulted in a 2% labor market drop and reduced hours.

A study funded by OpenAI's founder Sam Altman reveals that a Universal Basic Income (UBI) of $1,000 monthly for 3 years for 1,000 low-income adults led to a 2% drop in labor market participation, reduced weekly working hours by 1.3-1.4 hours, and increased leisure time. However, no significant improvements in employment quality or education were observed. The study suggests that UBI's negative labor market implications may depend on the program's duration and generosity.

August 29, 2024
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