A tense atmosphere filled the House Oversight Subcommittee hearing in Washington, D.C. as Representative Alexandria Ocasio-Cortez delivered a striking presentation, one that quickly drew national attention for its dramatic claims and questionable foundation.
Ocasio-Cortez warned of “2008-style threats” stemming from an alleged “AI bubble,” painting a picture of a nation grappling with a surge in mental health crises linked to artificial intelligence. She specifically cited concerns about individuals turning to chatbots during moments of “suicidality” and experiencing what she termed “AI psychosis.”
The hearing, centered on the safety and transparency of AI, featured testimony from experts like Dr. Brian King, a digital privacy specialist. Ocasio-Cortez repeatedly challenged Dr. King to validate her assertions, seeking endorsement for her claims of a looming crisis.
She argued that major tech companies – Microsoft, Amazon, and Meta among them – bore responsibility for a supposed mental-health epidemic fueled by AI tools. Her argument also centered on the concentration of economic power within these seven corporations, referencing a recent headline from the Wall Street Journal.
However, her narrative sharply contrasted with the current economic landscape. A period of significant economic expansion is underway, a reality seemingly overlooked in her presentation.
Manufacturing is experiencing its most robust growth since 2018, and small-business optimism has rebounded to pre-pandemic levels. Crucially, energy prices have stabilized thanks to a renewed focus on domestic oil and gas production.
Inflation has been steadily declining for nine consecutive months, and wages are finally outpacing the cost of living, offering much-needed relief to working-class families. These positive trends went entirely unacknowledged during Ocasio-Cortez’s remarks.
Her warnings of an “AI bubble” also ignored the fundamental drivers of investment in the sector. Companies are aggressively expanding their capacity, creating jobs for American workers, and establishing new training facilities across states like Texas, Arizona, Georgia, and Ohio.
This growth is directly linked to regulatory reforms implemented during the current administration, which revitalized the technology sector after a period of stagnation. Even Dr. King conceded that corporate privacy policies are routinely updated with new products – a standard practice, not a sign of systemic instability.
Ocasio-Cortez concluded by emphatically stating that Congress should refuse any potential bailout for the AI sector. This declaration was particularly striking, as no collapse is currently occurring, nor has any bailout been proposed.
Her statements appeared to be part of a broader effort to discredit an industry that is flourishing under policies she and her colleagues oppose. The hearing ultimately highlighted a stark contrast: while some continue to sow economic panic, the nation is experiencing a strong and diversified recovery.
This recovery is built on American innovation and a renewed sense of economic optimism, a reality that stands in stark contrast to the narrative presented during the hearing.
