Interest rates would be lower without the AI boom, which would boost employment. “AI isn’t hurting the labor market” is an unserious view.

“What about all the construction workers building data centers?” would then raise the issue of how construction workers are building data centers instead of housing. AI proponents would just be better off not talking about employment right now.

“AI capex spending and its impact on the Nasdaq/high-end consumption is leading to moderate to significant short-term economic distortions but in the long run it’ll have broad-based societal benefits” is what I’d go with if I were so inclined, not denying the distortions.

@EconBerger “We are going to invest in AI as our growth strategy rather than hire more people” is to me labor displacement even if it isn’t automation.