MILAN, Sept 21 : Central banks need to understand who benefits from artificial intelligence-driven gains, as their distribution will help shape aggregate demand and inflation, European Central Bank Governing Council member Fabio Panetta said on Monday.<\/p>\n
\u2022 AI is set to transform productivity and growth, labour and financial markets, and payment systems, Panetta said.<\/p>\n
\u2022 If AI mainly creates new tasks and raises expected labour income, demand could increase before AI’s full productivity benefits materialise, prolonging inflationary pressures, he added.<\/p>\n
\u2022 Panetta, who is also governor of the Bank of Italy, was speaking at an event hosted by the National Bank of Ukraine.<\/p>\n
\u2022 Credibility is an essential asset of every central bank, but how it is built and preserved depends on the nature of the challenges faced, he said.<\/p>\n
\u2022 Central banks cannot remain on the sidelines, Panetta said, adding that understanding changes underway is increasingly essential to central bank credibility.<\/p>\n
\u2022 According to Panetta, if automation dominates, weaker consumption could cause the disinflationary effects of AI to emerge sooner.<\/p>\n","protected":false},"excerpt":{"rendered":"MILAN, Sept 21 : Central banks need to understand who benefits from artificial intelligence-driven gains, as their distribution…\n","protected":false},"author":2,"featured_media":607056,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[138,219,111,139,69],"class_list":["post-607055","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-new-zealand","tag-newzealand","tag-nz"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/607055","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/comments?post=607055"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/posts\/607055\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media\/607056"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/media?parent=607055"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/categories?post=607055"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/nz\/wp-json\/wp\/v2\/tags?post=607055"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}