H.K. Economic Information Agency, May 5 — Bank of Japan Deputy Governor Shinichi Uchida said that AI is a huge positive demand shock, creating upward pressure on the economy and prices.
Uchida said AI could also affect the supply side, having positive effects by boosting productivity and promoting capital accumulation, which in turn could influence the natural interest rate; it remains unclear how significantly AI will impact the economy within the traditional policy framework. (rc)
Uchida said AI could also affect the supply side, having positive effects by boosting productivity and promoting capital accumulation, which in turn could influence the natural interest rate; it remains unclear how significantly AI will impact the economy within the traditional policy framework. (rc)
