More News from IWER

Professor Sinan Aral joined "Squawk Box" to discuss the impending SpaceX IPO, Elon Musk's AI strategy post-SpaceX IPO, and more.

In this video conversation, professor Deborah Ancona and senior lecturer Kate W. Isaacs reflect on their own experiences and the dangers leaders face when using AI in their work and personal lives. Ancona and Isaacs also share concrete recommendations for delivering value as a leader in the age of AI.

Perhaps the biggest opposition to data centers stems from fears that our electricity bills could spike. For smaller data centers, "there is a simple rule that fully fixes the problem: charge the data center enough for their electricity," said senior lecturer Harvey Michaels. If rates are set appropriately, Michaels said, data centers can actually lower electricity bills for everyone else. "Electric price attention is important, but data centers are not the enemy."

SpaceX and the AI companies will likely sell relatively few public shares at first, because the rest are locked up with private investors. As a result, competition will be fierce, and the price is likely to spike, said IDE research affiliate Paul Kedrosky. "It's kind of like that scene in 'Oppenheimer,' where you're gonna set the atmosphere on fire," he said. "The risk is it's a self-perpetuating process that has no natural limit."

Professor Christopher Knittel said that if rideshare wages increase, the money has to come from somewhere. "It can come from higher fares, smaller driver incentives, or lower platform profit margins," Knittel said.

Lecturer John Richardson and co-author wrote: "The goal here is to give an unequivocal 'no' in a way that lets you gracefully exit the interaction, while still preserving the relationship. You want to continue the conversation on your terms, even if you close a door for now. We believe saying 'no' is an underrated superpower in negotiation. Here's how to do it more effectively."

Senior accountants treat AI as a collaborator. They push back when the system's confidence drops. They catch errors and apply judgment. Junior accountants are more likely to accept AI output at face value, even when the system flags its own uncertainty. Research from assistant professor Chloe Xie and co-author found that it isn't a generational critique. It's a repetition problem. The seniors know what a real answer looks like because they've produced thousands of returns. The juniors haven't yet.

A report by the New York City comptroller argues that the city's economy will be transformed by artificial intelligence. "You're going to get a lot of automation, which means replacing people with algorithms," said professor Simon Johnson, adding that the A.I. boom is likely to displace at least some white-collar workers and that it is not yet clear who will benefit from any potential job gains. Historically, Mr. Johnson added, new digital technologies have tended to make inequality worse.

Professor of the practice Athanasios Orphanides said that in a democracy, it's important that institutions like the Fed are responsive to society's preferences. "The challenge is that politics can sometimes distort decisions. Things that we wish were taken care of don't get done because they might compromise short-term electoral considerations. This is why it is desirable to delegate some decisions to independent institutions protected from shortsighted political influence. This is where central bank independence comes in," he said.

Senior lecturer Robert Pozen wrote: "Most financial advisers tell their clients to hold a 60-40 portfolio—60% in stocks and 40% in bonds. Stocks are volatile, and bonds can provide a counterweight when share prices fall. But after more than 20 years in the money-management business, I've concluded that many investors hold too much in bonds and not enough in equities."