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

BY Reuters | ECONOMIC | 02:16 PM EDT

WASHINGTON, May 6 (Reuters) - Even if artificial intelligence is as transformative as advertised the U.S. 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.

(Reporting by Howard Schneider; Editing by Chris Reese)

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