The Digital Press

The U.S. economy is currently buoyed by AI-related growth despite weaknesses in manufacturing and consumer sentiment, but there are rising concerns that AI might not meet high expectations and could trigger a major economic downturn if it disappoints.

Why it matters: AI’s success or failure could determine the overall health of the U.S. economy and shape the legacy of Trump’s presidency.

The big picture: Much of the U.S. economy outside AI shows signs of stagnation, making the country heavily reliant on AI-driven growth.

The stakes: An AI sector crash could cause widespread financial distress, turning a fragile economy into a full recession with major political consequences.

Commenters say: Many express worry that overreliance on AI investment is risky, noting a lack of economic diversity and skepticism about AI’s near-term payoff.