Trump expects his Fed pick and AI to deliver a replay of the ‘90s boom. Economists have doubts

Associated Press (AP)CenterEN 6 min read 100% complete by By  PAUL WISEMANMarch 1, 2026 at 04:53 PM
Trump expects his Fed pick and AI to deliver a replay of the ‘90s boom. Economists have doubts

AI Summary

long article 6 min

President Trump and his economic advisors believe that artificial intelligence, coupled with a new Federal Reserve chair, can replicate the economic boom of the 1990s. Trump anticipates his Fed nominee, Kevin Warsh, will aggressively cut interest rates, mirroring Alan Greenspan's perceived strategy during that decade. The administration hopes AI will boost productivity and lower unemployment, similar to the impact of the internet in the '90s. However, many economists are skeptical, arguing that the current economic landscape differs significantly from that era. They also contend that the Trump administration's interpretation of Greenspan's role in the '90s boom is an oversimplification of events. Trump has frequently criticized current Fed chair Jerome Powell for not cutting rates sufficiently.

Keywords

federal reserve 90% interest rates 80% artificial intelligence 70% economic boom 70% kevin warsh 60% 1990s 60% economic policy 50% alan greenspan 50% jerome powell 40%

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