{
  "id": 15216051,
  "title": "Who pays for optimism if AI backfires? CEA answers",
  "url": "https://urgent.news/2026/10/17/who-pays-for-optimism-if-ai-backfires-cea-answers",
  "topic": "ai",
  "section": "AI",
  "published": "2026-10-17T10:51:17.000Z",
  "source": {
    "name": "The Economic Times",
    "slug": "the-economic-times",
    "url": "https://economictimes.indiatimes.com/news/economy/policy/who-will-pay-for-todays-optimism-if-ai-goes-wrong-cea-anantha-nageswaran-answers/articleshow/135012225.cms"
  },
  "original_language": "en",
  "account": "Chief Economic Adviser (CEA) Anantha Nageswaran has expressed concern that finance ministries, central banks, and households may face the repercussions if the optimism surrounding artificial intelligence (AI) turns out to be misguided. Even if the expectations are met, these entities may still have to contribute to the cost, the CEA warned. The five potential risks associated with AI have been highlighted by Nageswaran.\n\nFirstly, AI's rapid growth could threaten entry-level jobs, disrupting the initial steps of a career ladder. In 23 out of 31 countries studied, the number of juniors in the workforce has declined in roles most exposed to AI. In the United States, employment of individuals aged 22 to 25 in such jobs has dropped by approximately 19% compared to their older counterparts. As those who will assess AI's work in the future come from this initial rung, the impact is particularly significant for developing nations.\n\nSecondly, AI may negatively affect human capabilities. A study by researchers at the MIT Media Lab found that using AI models to write essays weakened brain activity and connectivity among participants. After just one session, 83% of ChatGPT users could not quote a single sentence from the essay they had created minutes earlier, a phenomenon termed \"cognitive debt\" by the researchers.\n\nThirdly, AI poses safety risks. The fourth risk relates to financing. The U.S. data center expansion could require over $10 trillion by 2032, accounting for about 3.6% of GDP annually. For the first time, cloud firms will spend more on capital expenditures than they earn in cash, leading to increased debt on their balance sheets.\n\nLastly, the fifth risk involves public finances.",
  "summary": null,
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "The Economic Times - Economy",
        "title": "Who will pay for today's optimism if AI goes wrong? CEA Anantha Nageswaran answers",
        "url": "https://urgent.news/2026/10/17/who-will-pay-for-todays-optimism-if-ai-goes-wrong-cea-anantha",
        "published": "2026-10-17T10:51:17.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}