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Lars Christensen on AI and its Impact on Monetary Policy and the Broader Field of Economics
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Lars Christensen is a founding member of the market monetarist tradition, an entrepreneur in the AI space, and is also a returning guest to Macro Musings. Lars rejoins the podcast to talk about AI and its implications for the economy and for monetary policy. David and Lars also discuss the basics and implications of dynamic pricing, AI’s growing use within econometric analysis, how AI will impact the Fed and its policymaking, and much more.
Transcript for this week’s episode.
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Related Links:
*From Merchants to Quants: The Digital Revolution in Retail* by Lars Christensen
*Less Than Zero: The Case for a Falling Price Level in a Growing Economy* by George Selgin
Timestamps:
(00:00:00) – Intro
(00:01:16) – Lars’s Move from Macro to AI
(00:08:02) – The Basics and Implications of Dynamic Pricing
(00:16:17) – Using AI for Econometric Analysis
(00:23:54) – The Implications of AI for the Economics Field
(00:35:45) – How Will AI Impact the Federal Reserve and its Policymaking
(00:38:55) – Deflation as a Response to an AI Driven Productivity Shock
(00:52:08) – Outro
Photo Credit: Nordnet Bank
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