What AI windfall? Debt will still weigh on big economies


FILE PHOTO: FILE PHOTO: Figurines with computers and smartphones are seen in front of the words "Artificial Intelligence AI" in this illustration created on February 19, 2024. REUTERS/Dado Ruvic/Illustration/File Photo

LONDON, Feb 27 (Reuters) - An AI productivity boom, if it materialises, may ⁠help buy major economies more time to clean up their strained public finances, economists say, although it won't do the heavy lifting.

The stakes couldn't be higher. Debt is above 100% of output across ⁠most rich economies and set to rise given ageing population costs, interest bills and pressure to spend more on defence and climate change.

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