Fed's Goolsbee: AI success would be 'lovely,' but Fed would still need to watch for overheating

WASHINGTON (Reuters) - Even if artificial intelligence is as transformative as advertised the US Federal Reserve would still need to watch for rising inflation, Chicago Fed President ⁠Austan Goolsbee said on Wednesday.

"If it's as good as advertised, it would be lovely, wonderful, it will make us rich," Goolsbee said. "But if that's still to ⁠come in the future, I do think we need to be a little ⁠more circumspect and on the lookout for overheating" if people ⁠start spending on the basis of anticipated ⁠wealth gains from productivity to come.