The Impact of AI on the American Economy

DeepSeek, an AI tool developed in China, has created significant turmoil in the U.S. stock market, especially following its increased public attention. Investors have grown anxious over its potential to disrupt the market dynamics that currently favor major American tech companies. DeepSeek has positioned itself as a cost-effective alternative to established AI models from companies like OpenAI, raising questions about the sustainability of the ongoing investments in AI technologies. This sudden shelf life of fear reflects the broader uncertainties surrounding AI's implementation and profitability in the American economy.