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JW Justin Wolfers Justin Wolfers Professor of economics and public policy at the University of Michigan, a non-resident senior fellow at the Brookings Institution, and author of a widely used i...

“I worry that data centers became where we put our anxiety about AI. … How big are they relative to the AI moment? The environmental degradation or the electricity consumption or the noise pollution. I think it's actually small relative to the fact that all of our working lives may be on the cusp of being upended.”

Platypus Economics with Justin Wolfers · Money & Markets · November 2026

“I worry that data centers became where we put our anxiety about AI. … How big are they relative to the AI moment? The environmental degradation or the electricity consumption or the noise pollution. I think it's actually small relative to the fact that all of our working lives may be on the cusp of being upended.” — Justin Wolfers, Platypus Economics with Justin Wolfers

Context

Asked whether AI was on the ballot in the midterms, especially where many data centers are planned, the economist argues that the fight over data centers is standing in for a much bigger worry about jobs.

Transcript

Platypus Economics with Justin Wolfers Around 16:32 into the episode
Justin Wolfers

…worried about the risk my car gets stolen. I go buy car insurance. Well, what's the equivalent of car insurance for the AI moment? We haven't had a serious, mature, grown-up political conversation about that. But that risk, I think people feel very, very acutely. And we need to do something about.

Augusta Chapman

…of data centers are planned. And there were two very unlikely Democratic nominations and wins. And I am curious if you see a path forward now to having a national conversation about AI. And if so, what do you think are the biggest economic factors that we need to consider in that conversation?

Justin Wolfers

…going to say something that risks being controversial. That's okay. That's my job. I worry that data centers became where we put our anxiety about AI. That, yeah, there are reasons to not like them, blah, blah, blah. I'm being dismissive, but I actually also want to say I don't want to be dismissive. I just want to recognize there are real issues around data centers. Let's put that to the side. How big are they relative to the AI moment? The environmental degradation or the electricity consumption or the noise pollution. I think it's actually small relative to the fact that all of our working lives may be on the cusp of being upended. And I would hate for us to be successful at saying, you know, as a labor economist, my job is to say, hey, this is the most interesting, tumultuous moment demanding a serious policy response in two generations. And I'm serious about saying that. And it would be a mistake. For us to say, okay, great, let's sit around and talk about data centers. We need to talk about what does education mean. We…

Augusta Chapman

Okay, well, I'd like to end by reading you this response that we got from Mark in Miami, Florida. Mark wrote, I feel fortunate and blessed to live in the United States of America, a land of freedom and opportunity. Economically, 2026 has been very good to me. Higher asset prices, particularly in…

Justin Wolfers

Yeah. First of all, can we just celebrate how wonderful our community is?

Augusta Chapman

I know.

Speaker names come from our own diarization. The position is estimated from where the line sits in the episode.

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