White House promotes A.I. growth while downplaying economists’ warnings

The White House has downplayed risks from artificial intelligence while pushing its potential to boost the economy, with President Trump telling reporters, "I love A.I.," and administration aides celebrating recent growth. Over the past year the administration has embraced A.I., providing financial and regulatory support to major tech firms and issuing executive orders intended to ease construction of data centers, chip sales and sourcing of materials.

Kevin Hassett of the White House National Economic Council touted strong economic data as evidence of an A.I.-driven boom, even as some economists and technologists urged caution about job losses and financial instability. Researchers have shown mixed early effects: a Federal Reserve Bank of New York study found many companies retrained workers rather than lay them off but also reported slower hiring plans, and other work cited A.I.

adoption as reducing employment for some young workers. Analysts and banks have warned of "froth" in A.I. investment — BNY Mellon reported hyperscalers issued more than $121 billion in debt this year — and some economists have compared aspects of the current surge to past tech bubbles.

The administration has sought to limit state regulation of generative A.I. and has said it will not provide a federal bailout for struggling A.I.

Key Topics

Politics, Donald Trump, White House, Generative Ai, Openai, Nvidia