AI Investment Drives Uneven U.S. Economy

The Federal Reserve closed 2025 by cutting interest rates 0.25 percentage point—the third cut this year—in a 9–3 vote as the US economy shows conflicting signals. Analysts report 4.3% GDP growth partly driven by AI investment possibly reaching about 2% of GDP, while concentrated tech rents and finance-driven credit distort labor markets and sustain inequality.