Fed’s Warsh says AI ‘most consequential change’ to economy in his lifetime
Kevin Warsh says the AI investment boom pushes prices higher in the short term but would deliver significant long-term benefits to the US and global economies.
US Federal Reserve Chair Kevin Warsh has declared that artificial intelligence (AI) represents the most significant change to the global economy during his lifetime. Speaking at an event during the IMF-World Bank Annual Meetings in Bangkok, Warsh highlighted that he expects the Federal Reserve to leverage AI for more effective data analysis in monetary policy, emphasizing the technology's positive impact on the economy.
While acknowledging a short-term inflationary effect through demand-side effects and a long-term positive supply-side shock, Warsh remains cautious about the uncertainties surrounding market evolution and technological knowledge. He firmly believes that AI will make countries and economies that utilize it more productive, despite the bumpy journey ahead in understanding and integrating this transformative technology.
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- AI 'most consequential change' to economy: Warsh economictimes.indiatimes.com
- Fed’s Warsh says AI ‘most consequential change’ to economy in his lifetime freemalaysiatoday.com
- AI 'most consequential change' to economy: Kevin Warsh news.rthk.hk
