Lisa Cook on European austerity
From Lansing Online News Radio - Dr. Lisa Cook · · Bonnie Bucqueroux
“Europe went down the path of Greater austerity and prolonged their economic recovery and uh this is the end result and I mean they they've got to figure out which they want so they're either going to get growth or they're going to get uh recession if if not uh depression and it won't be be just Greece clearly it won't be just Greece no it won't be just Italy.”
On , Lisa Cook, Governor at Federal Reserve Board of Governors, spoke about European austerity during Lansing Online News Radio - Dr. Lisa Cook on Bonnie Bucqueroux.
About Lisa Cook
On May 27, 2026, Federal Reserve Governor Lisa Cook delivered the opening keynote at the SIEPR Spring Policy Forum "From Digital Assets to AI." Cook stated that inflation "is clearly moving in the wrong direction," estimating the PCE price index rose 3.8% over the 12 months ending in April, well above the Fed's 2% target. She said she sees "elevated risks to both sides of our mandate" and believes the right course of action is to hold rates steady, but added that she is prepared to raise rates if expected disinflation does not appear in a timely manner. Cook also discussed AI's potential impact on the labor market, saying "we could be approaching the most significant reorganization of work in generations" and that "AI-related job loss could precede job gains." In an earlier keynote at the NBER Summer Institute on Digital Economics and Artificial Intelligence on July 17, 2025, Cook described AI as "the next general-purpose technology" similar to the printing press or electric power. She noted that AI could improve productivity and lower inflationary pressure, but might also boost prices in the interim due to a surge in aggregate investment. Cook highlighted that the Federal Reserve is using AI tools to monitor financial stability, including teams analyzing technological risks and developing AI models to classify text for identifying potential financial crises. She cautioned against over-reliance on AI for learning, stating that "it is not a substitute" and that problem-solving and fact-checking remain essential skills.