A top White House economist dismissed a research report released over the weekend on the risks of artificial intelligence, which has impacted stock market performance, calling it "science fiction"
Pierre Yared, acting chairman of the White House Council of Economic Advisers, criticized the Citrini Research report in an interview with Bloomberg after speaking at a National Association of Business Economists event in Washington.
The Citrini Research report presents a 2028 scenario in which rapid advances in machine intelligence will boost productivity but make much human labor obsolete. The report predicts job losses, a decline in consumer spending, and a decline in stock indexes, including the S&P 500.
Yared stated that the report contradicts basic economic principles by arguing that AI will lead to job destruction due to its high productivity.
"The Citrini report is an interesting piece of science fiction, and I love science fiction," Yared said. "But I think if you really examine it and think about it carefully, it violates some basic identities in economics."
The Nasdaq Composite Index fell more than 1% on Monday, amid a decline in tech stocks following negative sentiment sparked by the Citrini Research report.