Can AI Outrun America’s Deficit Problem?

National Economic Council Director Kevin Hassett argues that the economic benefits of AI may be greater than current data show, comparing today’s dynamics with the early internet era, when improvements in computing were difficult to capture in official statistics. At the same time, Hassett says reducing the federal workforce can generate budget savings, and he remains optimistic about economic growth in the face of a growing debt burden. He acknowledges that bringing the federal deficit to 3% of GDP will require more attention. (Source: Bloomberg)

National Economic Council Director Kevin Hassett argues that the economic benefits of AI may be greater than current data show, comparing today’s dynamics with the early internet era, when improvements in computing were difficult to capture in official statistics. At the same time, Hassett says reducing the federal workforce can generate budget savings, and he remains optimistic about economic growth in the face of a growing debt burden. He acknowledges that bringing the federal deficit to 3% of GDP will require more attention. (Source: Bloomberg)