The only plausible scenario where the US avoids major fiscal adjustment is if AI produces a genuine productivity revolution that transforms the economy sufficiently to sustain high incomes and allow people to receive government transfers without working, with robot-generated income paying for everything.

forecastpending

Speaker

Kenneth Rogoff

Evidence Quote

It's that the AI revolution uh turns out to uh you know just work magically much better than we you know anyone imagine

Source

Kenneth Rogoff on Monetary Moves, Fiscal Gambits, and Classical Chess | Conversations with TylerMercatus Center
Created: 8/11/2026, 7:10:38 AM

My Notes

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