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2025-12-13 00:34:29
[Powell: AI is "Part of the Reason" for Worsening US Employment] Is artificial intelligence harming US jobs? Federal Reserve Chairman Jerome Powell's answer is: to some extent. He stated at a press conference that AI is "part of the reason" for the worsening unemployment rate, which is one of the reasons for the Fed's second interest rate cut in two months. However, Powell also pointed out that AI is currently "not the main driver, and it is impossible to know whether it will become the main cause in the future." While the long-term impact of AI on the labor market cannot be predicted, Powell believes that the current wave of AI may have a more severe impact on the workforce than the technological revolutions of the past 200 years. While past technological changes have eliminated jobs, they have also created enough new jobs, "ultimately maintaining a balance in employment." But the arrival of generative AI "may be different." He bluntly stated that if this is indeed the case, "our existing tools will not be sufficient to address its profound impact on society and the labor market."
