Goldman Sachs estimates that artificial intelligence’s contribution to inflation amounts to approximately 45 basis points, or 0.45%. The bank’s economists believe the AI impact on inflationary pressures is overstated and that its peak effect has been reached. The core Personal Consumption Expenditures index, the Federal Reserve’s preferred inflation measure, stood at 3% year-over-year in August. Goldman Sachs forecasts a return of core inflation toward the Fed’s 2% target by 2027.
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