“The economy is currently held aloft on a wave of capex spending and Nvidia valuations. If, for instance, you can't build data centers anymore and then you get a bad loss-of-control incident, that could pop the stock market and lead to a pretty significant correction very quickly. So we could end up in a recession. I don't buy anybody who says they fully understand the way this circular private financing deal-making is happening.”
Search Engine · Tech Strategy & Big Tech · November 2026
Context
Klein was arguing that the next two years hold risks nobody controls. He turns to AI, which he says was a major part of the election, and to how fragile an economy propped up by AI spending may be.
Transcript
So until the financial crisis, when the economy bottoms out, nothing anybody remembers.
Right.
The thing is, the opposition party in Congress is not the one held responsible for the condition of the country. And what is going to happen for the next two years is Donald Trump is going to go on tilt. I think people are making a bit of a conceptual mistake and thinking that there is going to be this straight line from the country here to the country in 2028. There isn't going to be. One, Donald Trump is a 80-year-old, decompensating, erratic, reckless person who is going to come under tremendous investigatory pressure, not just him, but his family and his administration, many of whom have been lining their pockets or seeking investment that when sunlight shines on it, people are not going to like it. Like, how much money from the Gulf states did go into Jared Kushner's investment funds during this period? And what did the Gulf states want for that money? Are they just so impressed by the kind of investor Jared Kushner is? So it's going to be that. You have AI, which is, I mean, AI was a major part of this election and it is reshaping everything in ways people don't like kind of across the board. And Trump is extremely bought in on a letter-rip AI strategy. But in the next two years, it is entirely possible…
Yeah. Totally.
What happens when he doesn't do them and he has to respond? I mean, we watched this during the pandemic. He didn't respond well. So it's not even clear the 2028 election will be about affordability. It could be about some total other crisis or financial crisis or it's all here. It's
interesting, though. It's like my imagination, and like everybody I've been talking to this week, their imagination goes to like, well, what mistakes might the Democrats make or how might they do things well? The thing you are thinking about is more Trump is still president for two years. The world…
More from Search Engine
