White House Economist Dismisses AI Risk Report as Science Fiction, Advocates Boosting AI Investments

Economist Refutes AI Risk Narrative

Pierre Yared, acting chairman of the White House Council of Economic Advisers, criticized a recent AI risk report that rattled markets, calling its claims fictional.

The report painted a speculative 2028 scenario where AI’s rapid development boosts productivity but leads to widespread job displacement, collapsing consumer demand, and a stock market crash.

Administration Backs AI Expansion

Current leadership advocates doubling down on AI investments to maintain global competitiveness.

• Compare AI surge to 1990s internet and PC boom
• Highlight job growth parallels in economic history
• AI seen as driver of innovation and employment

Treasury Secretary Scott Bessent emphasized that historical trends show increased investment leads to job creation, a pattern he believes holds true for AI.