Economy · 19 d ago
Fed chair Kevin Warsh calls AI the defining change of his lifetime for the economy
"The advent of this new technology is probably the most defining change for the American and world economy in my whole life."
— Kevin Warsh, US Federal Reserve chair
Short term
Prices may rise
In the end
A big gain for the economy
Speaking Friday in Bangkok, at the IMF and World Bank meetings, Warsh said the AI boom could push prices up in the short term but would bring a considerable benefit to the world economy.
The International Monetary Fund warned this week of risks to financial stability if AI markets and investment turn sharply, and Warsh agreed the road will likely be bumpy.
What's next
The Fed raised its key rate in mid-September to between 3.75 and 4 per cent, and Warsh gave no hint of its next move.
