/AI4h ago

Tyler Cowen Forecasts AI Growth Will Stabilize US Debt Trajectory

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Original postAlex Imas#1773
Ju-jitsu@ju_vignon

@alexolegimas 💯 Incidentally this number is @tylercowen's expectation (AGI Economy speech, 21 May 2026). His illustration: this difference means the US debt, rather than exploding, actually converges⏬

Alex Imas@alexolegimas

This highlights a few under-appreciated aspects of AI and growth. 1) an increase from 2 to 2.5% growth has HUGE economic implications (and I think it’ll be higher). It may seem like a small number but given the size of an advanced economy like the US, this will lead to large and visible changes to well being. 2) disruptive technology shocks are *necessary* to sustain growth. Without disruptive shocks, growth doesn’t stay steady, there is sclerosis in the economy and it will stagnate and eventually shrink. Unlike what some folks like to argue, this would be a *very bad thing*—most of our social programs and public goods depend on sustained or increasing growth.

5:33 AM · Jun 8, 2026 · 1.7K Views
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