Kevin Warsh has built much of his case for cutting interest rates on a predicted artificial-intelligence productivity boom. In a Wall Street Journal op-ed, the nominee for Federal Reserve chair wrote that AI "will be a significant disinflationary force." Moreover, Warsh claims that these AI productivity gains will give the Fed leeway to cut rates. While Warsh's views received some attention at his nomination hearing before a U.S. Senate committee last month, they have not been sufficiently scrutinized as a basis for monetary policy. There is a great deal worth supporting in Warsh's reform agenda. He is right that ... (full story)