Capital market expert says the US is ahead of Europe for three reasons. “Society may reject AI.”
A economy nos USA didn’t fall over. Donald Trump’s tariffs were announced more than half a year ago, many predicted a gloomy scenario, but this did not materialize.
In fact, in recent times, the stock markets have even been breaking record after record.
Capital market expert Mohamed El-Erian predicts economic growth in the US well above 3%. “Who knew?” asked El-Erian, in an interview with .
El-Erian indicates that the pace of growth in the US is accelerating dramatically. And this poses a risk for the old continent: “The risk of Europe being left behind is really very high. The USA is distancing itself from Europe.”
That is, the USA is ahead of Europe at an economic level. Put three reasons: the impact of the aforementioned tariffs was not as drastic as feared; inflation rose significantly less than economists predicted; and companies are investing “seriously” in artificial intelligence (AI).
The biggest companies – Oracle, SAP, Microsoft, Salesforce, AWS, Google – are investing more 56% em IA than last year.
There is an obvious race for AI market leadership. It is an unprecedented volume of investments, it is a “rational bubble”, says the capital markets specialist.
In fact, we have already shared another warning about a likely , precisely related to AI, which could be much worse than the 2008 financial crisis.
This expert considers “it is absolutely rational that there is an excess investment in AI”: taking into account rapidly rising share prices and the hope of productivity gains, there are strong incentives for companies to be at the forefront.
However… someone is going to cry. “There will be some tears”because, as usual, not all companies will win this race. Only with time will it become clear who the winners and losers are.
El-Erian reinforces that there are companies that are using AI to dismiss on a large scale – instead of making employees more productive precisely through new technologies.
“Many companies are focused on reducing costs.” And this can cause a problem: “Society may reject AI”.
In fact, economic growth is already distancing itself from employment statistics. The economy grows in countries where employment does not grow.
