On Labor, AI & Election Uncertainty

If AI proves to be as transformative as many expect, its adoption has barely gotten off the ground. As AI proliferates—accelerating the productivity growth that’s central to our Roaring 2020s scenario—will it mean mass layoffs? Eric examines the labor market and the drivers of tech investment, concluding that most workers are not at risk of losing their jobs or bargaining power over employers. … The Fed’s new easing cycle removes a big source of uncertainty for corporate decision makers. But election uncertainty is keeping them cautious, according to research by the Fed and The Conference Board. That uncertainty will soon be over.